But will they? Mortgage lenders and those who finance them have proven ingenious at offloading risk onto borrowers, through prepayment penalties, fees and so forth, which remain legal within certain bounds and proved toxic to subprime borrowers. Geithner/Summers commit to a financial product safety commission, per Elizabeth Warren’s exhortations, but in a sense they are allowing the toaster factory to keep churning out incendiary devices. I’ll be very surprised if their reform plans actually do anything to rein the practice of offloading risk onto borrowers – and as long as borrowers continue to shoulder the high price, having skin in the game won’t stop securitizers from underwriting destructo-loans.