Discussion Questions: Just Drop off the Key, Lee

Answer 1 If I were Derek Figg or Benjamin Koellmann, I would walk away from my home. Indeed, it makes no sense to keep repaying an expensive mortgage for many years for an undervalued property. Instead, I would better rent a cheap place and invest the rest of my money. Answer 2 George Brenkert, a business ethics professor at Georgetown University, believes that individuals have a moral obligation to repay the money they borrow (Case 1.3., n.d.). In particular, taking a loan is an agreement between the bank and an individual, which should not be broken as long as the lender did not deceive the borrower. Answer 3 Homeowners whose homes are underwater can default their mortgages even if they could afford to repay them. In favor of this proposition, some individuals are deceived into buying properties that lower their value after a few years. Besides, it does not make any financial sense to service a loan for an undervalued property. On the contrary, borrowers lower their credit score, lose their properties, and might face more challenges in their career for defaulting loans. Answer 4