“Things really got out of hand when banks started giving loans and credit cards to illegals , without even a SS number.”
You can thank Bank Of America, under pressure from Pelosi, Boxer, LaRaza, and other California Dems for that one.
Remember the “Hispanic Banking Crisis!” from Circa 2004, and the Kerry run for President?
And you wonder WHY BofA has needed two huge government bailouts?
“Things really got out of hand when banks started giving loans and credit cards to illegals , without even a SS number.”
Those weren’t CRA loans. The NINJA, No Doc, 100% plus financing and similar loans were inventions of financial engineers, quants, working on Wall Street.
Investment banks and hedge funds wanted vast amounts of subprime paper to use as fodder for the creation of derivatives. Derivatives were where the big money was being made, since one mortgage could support many derivatives. The actual subprime loans themselves were of little interest other than as a necessary component. By the end of the bubble the derivative tail was wagging the subprime mortgage dog. This is described in detail in Yve Smith’s book “ECONned”.
“And you wonder WHY BofA has needed two huge government bailouts?”
BofA needed bailouts because they stupidly purchased Countrywide. It was like grabbing a live grenade.