RE:RE:More MBS Are Being Created to get off the banks BSYes BMO Sold them in early May. Paul Gammal confirmed that at BMO. And now RBC and others are packaging them up too as AAA to get rid of them and apparently there are foreign buyers for them. The banks are open to new mortgages that have the stress test and more backgroud checks but the mortgages from 2012 to 2016 are what scares them the most because most have the 5 year fixed and when the 2013 mortgages come up for renewal in 2018 the rates will likely have doubled from 2013 to 2018 and then boom! that is when defaults may occur for some - hence why they are packaging these up to try to sell them if they can but there are specific terms to them - that they may offer to refinance if the borrowers qualifies under the new stress tests (but I doubt most will qualify so they will have to go to HCG or someone like that)
Tater78 wrote: Did BMO actually sell any mortgages? The idea was floated, but as far as I know, they never did it. Happy to be proved wrong.
rCheung00 wrote: More MBS Are Being Created to get off the banks BS Just like BMO did recently
shows you something is up
publically they say "everything is okay" but behind the scenes they try to secretly offload some of their mortgages and get them AAA rated - seems almost identical to the US and Countrywide collapsed (like HCG?)
this ssh*t scares me