They KNEW that I am self employed, and asked me to show proof of my last three years of income.
I showed that to them, and told them that PART of my INCOME is LEGALLY hidden. I make more than the 1040 shows. So they had to do a DECLARED income statement that I had to sign.
THEY also told me what I had heard back in the 90s that they would be audited by the government IF they did not accept SOME of this type of mortgage.
The bill (don't remember the name) was proposed by DEMOCRATS, then when conservatives WARNED about fredie mack and salley may being in trouble, the DEMOCRATS vehemently denied there was ANY problem.
The banks had to do something, or get stuck with the bad loans, so they were sold as DERIVATIVES on the stock market. (wrong thing to do, but profitable).
NOW we taxpayers bailed out wall street and the banks, while home owners with limited income got stuffed down the drain.
By the way, I am STILL in my home and making payments, due to the LEGAL tax deductions for business owners......