Walking away from your mortgage, is it morally wrong?

Walking away from a mortgage should never be a decision that's taken lightly, and I don't think many people do. Putting your spouse and children through hell trying to live up to a the terms of a business decision that was made under different circumstances would be "morally wrong" in my books.  

No, I don't think Ms. McArdle does have a clue... some people have never been truly "in the trenchs" and have no deep appreciation of what it means to choose between gas in the car, medicine or food for the family. I think that the percentage of "Jerks" that received loans with the intent to walk away from the loans would be surprisingly small if we had honest statistics. The people I visit with who are in that position are heart broken by this action and feel trapped into making it. Usually they have been making every sacrifice possible way past the point of good sense. I know one person that has no charge cards, no TV, no home phone, no extras period, not even a clothing budget...just so they can make the ridiculously high payments on their loan (All this after the loss of employment). And when they went to the bank for help, the bank refused because the owner wasn't in "trouble" yet... yet one more succesful foreclosure because the banks refuse to be pre-emptive. Maybe Ms. McArdle should spend some time talking to the people who see the human cost of this situation?

Hello Maria and Chris, we all find it rather incredible at the lack of connection to what the loss of a home means to people and that they would never "walk away" if their were choices for them. I am so frustrated with the lack of help available to people and our government's "blind view" on the crisis. Good post!

Hello all -- I have to agree with the concensus, that McArdle has no clue about the average person in a tough situation.  This crisis is not about people looking to get ahead a few thousand by destroying their credit.  Real people have gone through unbelievably tough situations, and like Travella posted.......she can't imagine the decision between gas and food.