When it began, "subprime lending" wasn't a term in common usage, let alone understood outside financial circles. One of its late 1990s originators was Obama campaign finance chairperson Penny Pritzker when she served on the Board of the failed family-owned Hinsdale, IL Superior Bank. It cost the FDIC $700 million and depositors another $65 million, while Pritzker made millions on predatory lending now called "subprime" mortgage schemes. One definition is as follows: "the practice of making loans to borrowers who do not qualify for the best market interest rates because of their deficient credit history." Another in the recent environment was to force-feed them to the largest number of homebuying prospects possible.
'Twas quotas that killed the US economy.
An oversimplified timeline
The term "redlining" was coined in the late 1960s by community activists in Chicago. It describes the practice of marking a red line on a map to delineate the area where banks would not invest;
The purpose of the CRA is to provide credit, including home ownership opportunities to underserved populations
the Fed and other financial regulators have pressured/extorted banks into making more loans to less-than-creditworthy borrowers than they would normally be willing to risk...When the CRA was created during the Carter administration, the administration also funded with tax dollars numerous "community groups" [like ACORN] that have helped the ... regulatory agencies to enforce the act.
In case folks missed it, this was posted last night: http://www.youtube.com/watch?v=usvG-s_Ssb0
Must see.
Copy this link and send it to your personal email list and ask them to pass it on. The only way to get the truth out is to use the Internet.
FDR’s New Deal. LBJ’s War on Poverty. Carter’s malaise. Clinton’s Boom. CRA & ACORN & voter fraud.The billions to ‘rebuild’ New Orleans. Now this.
How much in a percentage of taxes per year do we have to pay and for how long? How much are we ransoming the future of our children? Could the country ever recover debt incurred from an Obama spend-administration?
My god, I never realized how correct Rush was regarding failure being a resume enhancement for liberals.
Valerie Jarrett...all that foundation money shot to hell.
Penny Pritzker...her bank cost FDIC{us} 2 Billion.
Jim Johnson.....raped Fannie Mae.
Franklin Raines...really raped Fannie Mae.
Jamie”Wall” Gorelick...raped Fannie Mae from the board room.
And then the O-Bomb as the prize.
How can a candidate who has raised more money than any other candidate in history and sill doesn’t have enough money so he broke his vow not to take money from 527S possibly expect the American public to trust him with the taxpayer’s money?