Here is an idea to help with this home mortgage mess. It has a bad taste for lenders, but then again are they not the ones who's greed in accepting poor credit loans got us into this mess in the first place.

Let us eliminate compounded interest loans. Does it make sense to pay interest on interest? No, not unless you are a banker or the one receiving this theft economics. What is going on is that people sign loans that are compounded annually. In other words simplified. You pay interest on interest for the loan.

So let us eliminate these type of loans. The lenders will not make as much money but then again they have been robbing people blind for years and this is due them. After all they are the ones who got Fannie Mae and Freddie Mac to accept loans on bad credit. I mean that they sold these poor loans and received their money knowing full well that these loans were bad. Let's call this their fine for their corruptness.

An example of this would be that no home loan can be made for more then 20 years in length. A maximum interest rate of 20% is the most that can be charged on the loan. Now wait a minute. I am not compounding this. To be somewhat fair OK.

Say that the average price of a home is $250,000.00. Now take that times the interest and you get a total amount owed on this loan of $300,000.00. That is a $50,000.00 dollar profit. You break it down to a monthly payment of $1250.00 per month. Now isn't this affordable. Also the lenders are making