[gfodor]

Seriously, the same people who complain about "accredited investors" being a privilege of the 1% are also going to use the phrase "predatory lenders." So, which is it? Can people be tricked into bad deals or can't they?

I'm pretty sure if anyone could invest in private equity, overnight you'd see a flood of get-rich-quick ventures crop up and you'd see a lot of people lose everything.

I'm not sure if I think the current legal system is fair, but without acknowledging the huge amount of risk involved in changing it any argument against it is hard to take seriously.

[a_c_s]

You do realize there is a difference betwixt a "lender" and a "predatory lender", right?

Mortgages are sold by people in a dual advisor/salesperson role, just like auto mechanics (and doctors and plumbers...). Non-predatory lenders give people reasonable advice about what kind of mortgage people can afford, just like an honest auto mechanic gives reasonable advice to people on what repairs are necessary and don't suggest unnecessary services or repairs.

Just as sketchy auto mechanics who try to overcharge for repairs or encourage a customer to have entirely unnecessary service or repairs done, predatory lenders knowingly push people to purchase mortgage products that they cannot afford.

[refurb]

Not sure why you're getting downvoted, I think you make a good point.

You can't on one hand hold people who make bad money decisions unaccountable and at the same time say they should have access to all the high risk opportunities.

It has to be one or the other.

[themagician]

No more risk than penny stocks, options or other derivatives. Or existing "get rich quick" schemes.