(NY Times) Debts Rise, and Go Unpaid, as Bust Erodes Home Equity

The delinquency rate on home equity loans is higher than all other types of consumer loans, including auto loans, boat loans, personal loans and even bank cards like Visa and MasterCard, according to the American Bankers Association.

Lenders say they are trying to recover some of that money but their success has been limited, in part because so many borrowers threaten bankruptcy and because the value of the homes, the collateral backing the loans, has often disappeared.

The result is one of the paradoxes of the recession: the more money you borrowed, the less likely you will have to pay up.

Read it all.

Prechter: The Last Time The Market Looked Like This Was Right Before The ’87 Crash

http://www.businessinsider.com/prechter-the-last-time-the-market-looked-like-this-was-right-before-the-87-crash-2010-8

Keith R. McCullough–Is this finally the economic collapse?

http://money.cnn.com/2010/08/11/news/economy/economic_collapse_GDP_unemployment.fortune/index.htm

Posted in * Economics, Politics, Economy, Housing/Real Estate Market, Personal Finance, The Banking System/Sector, The Credit Freeze Crisis of Fall 2008/The Recession of 2007--