This article nearly made me scream. Ed McMahon was on TV talking about how he is about to lose his house. People called in to ask where they could donate to help him? ARE YOU KIDDING??
Like most people in foreclosure, Ed just overspent. Unlike most people, he admits he overspent. Yes, I realize that a few people were taken by bad loans. Yes, I also realize some people once were able to afford their homes but then lost their jobs, had unanticipated medical expenses, etc. If we're honest, though, we will admit that the majority of people in foreclosure just overspent. They decided they deserved a bigger house, fancier car, more expensive vacation, etc.
Now everyone wants to jump in and help these people. Really? Why? Do you think they've learned their lesson and won't overspend next time? Doubt it. Sorry, but I'm not interested in bailing out most of these people in foreclosure. All we're teaching them is it's okay to get into huge financial trouble because someone else will pay for it.
In the meantime, I keep asking "Where's my bailout?" We bought a nice house in a nice neighborhood at the low end of our price range. We work hard, save money, and don't live an extravagant lifestyle. It's a wonderful life, but we're not over the top. So, where's our reward? In the midst of this "mortgage crisis" no one talks about what these people should have done. No one talks about how most of this "crisis" is created by people who couldn't live within their means.
Most of all, no one talks about how the rest of us, who will end up paying for any bailout feel about our hard-earned money being spent to rescue people who never learned basic money management.