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<p>[QUOTE=&quot;fatima, post: 1256076, member: 22143&quot;]Oh their liability is much more than these lawsuits.&nbsp; </p><p><br /></p><p>What they sold were securities based on income from the mortgages.&nbsp; Once a property is foreclosed, and/or the owner stops making payments, this income disappears and now becomes a direct liability to the bank.&nbsp; Not only are they liable for the dividends and initial capital on the security, but now they have a property that is costing them money.&nbsp; (taxes, upkeep, utilities, hoa dues, court costs, fees, etc).&nbsp;&nbsp; The fact they can&#039;t foreclose and have landed in court has further compllcated the issue for them as they have no remedy against defaulting buyer.&nbsp; </p><p><br /></p><p>So the bank has a liability to the owners of the securities and a liabilty of the property itself and no remedies.&nbsp;&nbsp; Oh and they are also being sued by AIG and other insurance agencies for having lied about the quality of the mortgages and hence the quality of the securities they sold.&nbsp;&nbsp; It does not matter that Countrywide did this.&nbsp; BofA integrated them and hence the countrywide problem is now a BofA problem.&nbsp; </p><p><br /></p><p>BofA itself is a retail bank.&nbsp; At one time 1 out of 2 banking customers had some sort of relationship with them.&nbsp; Now 1 out 7 Americans are on foodstamps, 10s of millions have lost their jobs, many have too much credit and are having a hard time paying, so forth and so on.&nbsp; This is BofA&#039;s primary market for making profits.&nbsp; This in itself should give anyone some concern who knows anything about banking.&nbsp;&nbsp; No wonder they are selling off assets.[/QUOTE]</p><p><br /></p>

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