I finally figured out what they were saying about lenders keeping 5% of mortgages.
Why allow them to sell at all?
If it is a bad loan, then they shouldn't make it.
If they are crunched for money..... don't make so many loans in the first place.

It seems whacky to me.
Can someone explain to me why this is a good idea?
How does this prevent trickery or overweening greed?

Thanks
Emmanuel