Devoted to interest rates, loans, and lending institutions

Right now, there is a lot of effort being put into helping those who are "victims" of foreclosure. But are they all victims? What about those who chose a home that was beyond their means? Should they be treated to the same level of help of someone who has had an accident or lost a job?

That is a question that is being asked right now. Treasury Secretary Henry believes that are there some victims of foreclosure that will just have to lose their homes -- nothing can be done. CNN Money reports on what Paulson said:

"Many of today's unusually high number of foreclosures are not preventable," he said in prepared remarks to a mortgage-lending forum meeting in Arlington, Va. "There is little public policymakers can, or should, do to compensate for untenable financial decisions."

And on My Two Dollars, a distinction is made between those who find themselves in hard times, and those who chose to get the bigger mortgage loan because someone would approve them:

I know the Federal Gov’t has been working on different ways to help people keep their homes, and I know that a complete housing collapse would finally send this country into the Depression it has been dancing around for 2 years. But I still don’t think it is a good idea. Lost your job? I can see giving you some help. Became disabled? Sure, of course. But bail you out because you took on a loan for more than you could afford?

I think this distinction is important. And, in some cases, no loan modification can help the situation. In some cases, the home is just worth too little, and the borrower in way over his or her head. Not everyone can still afford the home, even after an attempt at loan modification has been made.

And there's nothing that can be done about it.

What do you think? Are there some people who shouldn't be helped with foreclosure?