fascism at its finest: Property Tax Debt Backed Securities

[teacherone]

This is sick-- banks holding late mortgages buying up delinquent property tax debt from local governments including the right to COLLECT the debt and levy fees. Some are bundling these into securities and selling them on.

Nearly a dozen major banks and hedge funds, anticipating quick profits from homeowners who fall behind on property taxes, are quietly plowing hundreds of millions of dollars into businesses that collect the debts, tack on escalating fees and threaten to foreclose on the homes of those who fail to pay.

The Wall Street investors, which include Bank of America and JPMorgan Chase & Co., have purchased from local governments the right to collect delinquent taxes on several hundred thousand properties, many in distressed housing markets, the Huffington Post Investigative Fund has found

http://huffpostfund.org/stories/2010/10/new-tax-man-big-banks-and-hedge-funds

 

[hugolp]

If you have to pay a rent (aka property tax) its not your land.