"Leaving too many people behind."

[Bob Fechter]

They say the housing market is coming back to the USA. After forcing banks to give loans to unqualified borrowers the first time around, we crashed hard when the bubble burst. Now that there seems to be signs of recovery, tell that to Detroiters, the administration has drug back the ghost of Barney Frank; "The Obama administration is engaged in a broad push to make more home loans available to people with weaker credit, an effort that officials say will help power the economic recovery."

I guess this is like the old lib mantra, "Communism just hasn't had a fair chance yet," they think lending to people who can't pay the loan back hasn't had a fair chance yet ether.

Obama administration pushes banks to make home loans to people with weaker credit - The Washington Post

 

[Danimal W]

And don't forget facts like this.....

One of the big banking/wall street pieces of legislation is the Dodd-Frank Bill. Dodd had to resign from being involved in the Countrywide mortgage scandal.

Why are the foxes able to guard the hen houses?

 

[Bob Fechter]

That's what happens "when THEY run everything."

 

[Randy V]

I'm having a hard time understanding how this (pushing lenders to extend credit to people with weaker credit ratings) is any different than the many mortgage lenders that extended credit to the same people 7-8 years ago that are now part of the "99%" and screaming FOUL?

So the banks are suppose to lend money to people that are not credit worthy, so the banks will once again end up in trouble, so the banks will once again need to be bailed out...

What's that definition of insanity again?????

 

[Mark]

Yep! That's how it seems to work guys!

Lessons taught but never learned
All around us anger burns
Guide the future by the past
Long ago the mold was cast
For they marched up to Bastille Day

 

[Mark]

Holy cow, I just quoted someone!!!

Well slap me with a kipper and call me the crak monster

 

[Bob Fechter]

Deja Vu all over again.

"The pressure to make more loans to minorities (read: to borrowers with weak credit histories) became relentless. Congress passed the Community Reinvestment Act, empowering regulators to punish banks that failed to "meet the credit needs" of "low-income, minority, and distressed neighborhoods." Lenders responded by loosening their underwriting standards and making increasingly shoddy loans. The two government-chartered mortgage finance firms, Fannie Mae and Freddie Mac, encouraged this "subprime" lending by authorizing ever more "flexible" criteria by which high-risk borrowers could be qualified for home loans, and then buying up the questionable mortgages that ensued."

Frank's fingerprints are all over the financial fiasco - The Boston Globe

 

[Pete McCluskey.]

Is anyone thinking Ground hog day? Surely even the most radical of Liberals cannot think that is a good idea?

 

[Bob Fechter]

Pete, that depends on what your definition of "good idea" is. :~º

 

[Al Jones]

And don't forget facts like this.....

One of the big banking/wall street pieces of legislation is the Dodd-Frank Bill. Dodd had to resign from being involved in the Countrywide mortgage scandal.

Not true. Served for 30 yrs but when attempting to run for another term, found he did not have enough support to run uncontested within his own party so retired. He did not resign. Just a point of correction. Frank suffered more from the CountryWide debacle but it sure didn't help Dodd either.

 

[Charlie Farley]

I don't know about you, but I try real hard not to make the same mistake repeatedly.. those that do need medication, if it effects others, preferably , in my opinion, of the lead kind..

:laugh::laugh:

 

[Larry L.]

...Surely even the most radical of Liberals cannot think that is a good idea?

Uuuuuuuuuh, we haven't heard from Mr. Craik on this yet.

'Even money' that he does.......................?

 

[Keith]

These people got "left behind" too.

Which way do you think they'd vote?

[ame="http://www.youtube.com/watch?v=D1jQKpse7Yw"]Slipknot - Left Behind - YouTube[/ame]

 

[Danimal W]

Not true. Served for 30 yrs but when attempting to run for another term, found he did not have enough support to run uncontested within his own party so retired. He did not resign. Just a point of correction. Frank suffered more from the CountryWide debacle but it sure didn't help Dodd either.

Ah, that's right. Thanks for correcting me on the resignation/not running for re-election.

Wasn't he Chair of the Senate banking committee during this? Not exactly a good example to constituents... I'm going to regulate financial world, but yet do something personally with a financial company that isn't quite kosher.

And before our resident chart/graph/ cartoon poster, replies a gazillion times.... This is not.a conservative vs liberal or democrat vs republican issue. This is a elected official vs honesty and pointing out that many politicians are hypocritical and only looking out for themselves.

I don't care what party or viewpoint they claim to be, I don't trust them. They have proven time and time again they should not be trusted and they should be held accountable.

 

[Mark]

Well said that man!

 

[Jeff Young]

Yep! That's how it seems to work guys!

Lessons taught but never learned
All around us anger burns
Guide the future by the past
Long ago the mold was cast
For they marched up to Bastille Day

Neil Peart no likee old white conservative folk.Which is kinda the point of the song.

 

[Jeff Young]

Is anyone thinking Ground hog day? Surely even the most radical of Liberals cannot think that is a good idea?

Pete, the problem is that Lonesome Nutjob's post/outrage is based on the false premise that the worldwide banking crisis was caused by a piece of US legislation from the 1970s that prevented discrimination in banking. False. It gives regressives like Bob the warm fuzzies to think that liberals forcing white knight banks to loan to the dirty dark poor caused the financial markets to nearly collapse, but any serious study of the issue (from Congress, the Fed, etc.) debunks that idea pretty quickly.

I won't get into the pretty widely accepted causes here. But if you can move past the idea that encouraging limited lending to new homeowners who may not qualify on the new stringent standards banks have after 2008 didn't cause the meltdown in 2008 and won't again, then you can evaluate whether this program makes sense or not. I don't know if it does. But I do know that all of the analysis so far in this thread - -that this type of program caused what happened in 2008 -- is simply wrong.

 

[Mark]

Neil Peart no likee old white conservative folk.Which is kinda the point of the song.

Far be it from me to suppose that I know what Neil Peart likes or dislikes. I bow to your personal knowledge on that.

No matter what the song is about, that particular verse amply demonstrates that should those that govern, not learn from past mistakes and continue to govern on that same course, sooner or later discover that those they have governed, turn and rise against them!

:furious:

 

[Paul Brameld]

These people got "left behind" too.

Which way do you think they'd vote?

Slipknot - Left Behind - YouTube

So at last we find the true musical tastes of the Baron

 

[John Milmont]

Jeff, I would like to read these studies you talk about since the official government study on the topic did name Freddie Mac, Fannie Mae and the Federal Reserve as some of the entities that caused the problem.

Please tell me you're not saying that the governments hands are clean in this situation.