Posted on 05/15/2015 6:45:33 PM PDT by John Semmens
The Consumer Financial Protection Bureau (CFPB) warned financial institutions that they could be prosecuted if they deny home loans to persons subsisting on welfare benefits.
CFPB Director Richard Cordray asserted that "placing ability to repay ahead of need is contrary to federal regulations. Just because a person cannot support himself or herself doesn't mean he or she should be excluded from the benefits of home ownership. Every person has an inalienable right to own a home. Lenders have a moral obligation to help people achieve this right."
"For banks to argue that the risks of default and foreclosure should preclude certain persons from obtaining loans places profit over social justice," Cordray said. "Those who attempt to implement such injustice will face consequences. Fines or even imprisonment await anyone who would defy us in this matter."
Cordray went on to question "whether requiring loans to be repaid even makes sense. Housing costs would be lower across-the-board if the burden of repayment could be lifted from those unable to afford it. Banks have billions of dollars and could easily absorb the losses from non-performing loans. If they should become insolvent the Federal Reserve would, as it has in the past, just create more money to bail them out."
In related news, the U.S. Department of Agriculture is considering eliminating in-person interviews for Food Stamp applicants. Secretary Tom Vilsack explained that "forcing applicants to meet face-to-face is unnecessarily humiliating for them. I mean, having to look a government official in the eye and ask for help is intimidating. It might deter some from even seeking aid and try to make it on their own. By allowing applicants to simply phone-in a request for Food Stamps we can better maximize the volume of aid we provide."
if you missed any of this week's other semi-news/semi-satire posts you can find them at...
https://www.freedomsphoenix.com/Opinion/176458-2015-05-15-semi-news-semi-satire-may-17-2015-edition.htm
ping
Too close to the truth. It’d be another way to redistribute the wealth.
then they will call them ‘victims of predatory loans’
I would be shocked if this were not a real headline within the next year.
I missed the original story if that happened. Wow.
This government is like a parody of a real one any way
Sadly, this is almost not satire...
Community Reinvestment Act on steroids and though written in satire, not far from the truth.
Good job, John. Thank you again for the ping.
Too close to reality.
Isn’t that how the 2008 debacle occurred?
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