The repayments are collected through the UK tax system where borrowers remain in the UK.
Despite state efforts, millions of borrowers remain at the mercy of unscrupulous practices.
Nearly a quarter of all mortgage borrowers remain underwater on their home loans.
But credit standards for household borrowers remained essentially unchanged.
One unintended consequence of the problems at Bank of America and other large servicers is that many borrowers have managed to remain in their homes despite being in default, and without the income to qualify for a modification.
It's striking how difficult credit conditions remain for many borrowers, primarily small businesses and consumers.
REITs are highly sensitive to capital market conditions, which remain very difficult for many borrowers, because REITs must pay at least 90 percent of earnings as dividends to shareholders to keep from being taxed themselves.
This requirement could disqualify many borrowers.
How many borrowers will default?
Of course, many borrowers made bad decisions and acted irresponsibly.
