House Panel To Look At Settlement Securitization

But the American people "have limited patience left for Wall Street wizards' complex schemes aimed at generating big profits for a select few," Kanjorski says. "I have a great deal of difficulty understanding how some newfangled securities products, such as those involving the securitization of life insurance settlements, will contribute to economic growth."

In the past, "many once recognized that there may be a legitimate need for subprime mortgages under certain, limited circumstances," Kanjorski says. "Ultimately, the unrestrained securitization of subprime mortgages helped to transfer risk to unwary investors, put people in homes they could not afford, and contributed to the housing bubble and economic crisis from which we are still recovering. Too much of anything is just too much."