I really don't understand the principle. Is it possible a bank would sell a 10K$ dept for 500$ ? The root of the problem is that banks or credit companies sold

I really don't understand the principle. Is it possible a bank would sell a 10K$ dept for 500$ ? The root of the problem is that banks or credit companies sold loans to people who were unable to pay back the loan. The banks and credit companies new it but didn't care. This is criminal. The people who took the loan weren't educated enough or in proper control of their impulsions. In don't see much difference with selling drugs in the open. I've been told that in Belgium each loan of the citizen are registered in a national file. If that person become insolvent, any loans to that person not registered or given when he was above 33% may be erased by a judge. This is to provide a natural incentive to loaners to avoid screwing people. Buying loans is like trying to emptying a sinking ship with a spoon. Fix the hole first !