"...What Happens When You Lend To Poor People"

Those are the words of Michael Lewis who documents his "lessons" from the subprime mortgage debaucle. Lewis, who apparently loaned money to some subprime borrowers, says...

"I trusted these people to get their teams of lawyers to vet anything before they signed it. Turns out, if you're poor, you don't need to pay lawyers. You don't like the deal you just wave your hands in the air and moan about how poor you are. Then you default."

"The poor could work off their own debts. [...] The ones that don't [have skills] could be trained to do some of the less skilled labor -- say, working as clowns at rich kids' birthday parties."

The full article: A Wall Street Trader Draws Some Subprime Lessons