I work for a community bank that is part of a group of affiliates in and around Maryland. I am afraid we do not quite reach California :-(
Our holding company has a very traditional business model and none of the banks in the affiliation are willing to take any kind of excessive risk, be it lending to questionable customers, speculative building projects or whatever. Just a little group of old-fashioned banks that want to give our customers great service at a fair price.
Seems that the big banks are the ones pushing the edge. Actually, they've gone well over it, and are clearly breaking entire volumes of laws.
It's interesting that they feel comfy doing that. Their existence is a matter of law; their collateralization is a function of American property laws.
Extremely interesting that they obey one set of laws when it benefits them, and not another set, because it constrains them. There's a word for people like that: "criminals".