The Fed endgame may very well be what the Fed has pursued all along - the elimination of trillions of private debt, however instead of Uncle Sam eating it all this time, via the GSEs, the banks would end up sharing some if not all of the pain. Of course, if this is indeed the case, it will be a very dangerous tight rope act, as many may just refuse to pay their mortgages outright going forward, and cause major additional pain for the TBTFs, and/or result in other traditionally unpredictable outcomes.