She was correct. I can see arguments for why 30-year fixed mortgages with appropriate due diligence under our current system should be exempt (and maybe agree with!), but any "exotic" mortgages (variable rate, liar loans, option arms, etc...) should go on the pile. Bankruptcy court isn't pleasant for any of the parties. Both creditors and debtors are punished, and in a time when "ability to pay" was not given much consideration lenders do deserve punishment.
