Posted on 09/27/2008 8:41:48 PM PDT by Libertina
Good evening fellow FReepers... WA FReeper Forrestfire asked me to post this for him. Thanks, Libertina
I have worked in the financial services industry for over 20 years. I am repulsed by the boldfaced lies spewed ad nauseam by Democrats scheming to hide their culpability in this financial crisis. The complacent sycophants in the media just provide unfiltered loudspeakers for Democrats. You must inform yourself.
I BEG YOU TO WATCH THE SHORT VIDEOS BELOW. I CHALLENGE ANYONE TO REFUTE THE FACTS CITED.
Anyone who votes for the same Democrats who created this crisis DESERVES financial disaster. Without exaggeration, we are teetering on the edge of an abyss. Make no mistake—Democrats enabled this crisis and Democrats prevented reforms that could have avoided this crisis. MY MAIN POINT: If a plan is developed that helps to avoid an economic implosion, then who will prevent irresponsible Democrats from steering the country toward another cliff?
Never again!
Are you with me? I have never asked you to forward my emails before but I implore you to send this email to every voter you know.
Thank you,
David
1) Please watch this short video...
The Bush administration started warning Congress about risk at Fannie Mae and Freddie Mac in 2001. In September 2003, Secretary of the Treasury, John Snow (who was appointed by President Bush just 11 months prior) began warning about increasing risk at Fannie and Freddie and called for reform. Barney Frank said Fannie and Freddie are financially sound and encouraged them to “do more”. He blocked reform legislation. Chuck Schumer railed against reform of Fannie and Freddie on 4-26-05. John McCain pushed for regulation on 5-25-02 but ALL the Democrats voted AGAINST reform and OBAMA SAID NOTHING! NO SURPRISE! Chris Dodd and Obama are the #1 and #2 recipients of payola from Fannie Mae (47 times what McCain received)! The Democrats, including Barney Frank, Chris Dodd, Chuck Schumer and Obama have the AUDACITY to point the finger of blame at McCain and Bush!
WILL YOU let DEMOCRATS LIE AND LIE AND LIE in order to STEAL the WHITEHOUSE?
2) You must see this video that reveals OBAMA’s hypocrisy!
3) Idiotic lending practices were promoted by the Clinton administration and Democrats in Congress perpetuated
fiscal irresponsibility. Read the truth for yourself in this NEW YORK TIMES article ...
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September 30, 1999
Fannie Mae Eases Credit To Aid Mortgage Lending By STEVEN A. HOLMES
In a move that could help increase home ownership rates among minorities and low-income consumers, the Fannie Mae Corporation is easing the credit requirements on loans that it will purchase from banks and other lenders.
The action, which will begin as a pilot program involving 24 banks in 15 markets — including the New York metropolitan region — will encourage those banks to extend home mortgages to individuals whose credit is generally not good enough to qualify for conventional loans. Fannie Mae officials say they hope to make it a nationwide program by next spring. Fannie Mae, the nation’s biggest underwriter of home mortgages, has been under increasing pressure from the Clinton Administration to expand mortgage loans among low and moderate income people and felt pressure from stock holders to maintain its phenomenal growth in profits.
In addition, banks, thrift institutions and mortgage companies have been pressing Fannie Mae to help them make more loans to so-called subprime borrowers. These borrowers whose incomes, credit ratings and savings are not good enough to qualify for conventional loans, can only get loans from finance companies that charge much higher interest rates — anywhere from three to four percentage points higher than conventional loans.
‘’Fannie Mae has expanded home ownership for millions of families in the 1990’s by reducing down payment requirements,’’ said Franklin D. Raines, Fannie Mae’s chairman and chief executive officer. ‘’Yet there remain too many borrowers whose credit is just a notch below what our underwriting has required who have been relegated to paying significantly higher mortgage rates in the so-called subprime market.’’
Demographic information on these borrowers is sketchy. But at least one study indicates that 18 percent of the loans in the subprime market went to black borrowers, compared to 5 per cent of loans in the conventional loan market. In moving, even tentatively, into this new area of lending, Fannie Mae is taking on significantly more risk, which may not pose any difficulties during flush economic times. But the government-subsidized corporation may run into trouble in an economic downturn, prompting a government rescue similar to that of the savings and loan industry in the 1980’s.
‘’From the perspective of many people, including me, this is another thrift industry growing up around us,’’ said Peter Wallison a resident fellow at the American Enterprise Institute. ‘’If they fail, the government will have to step up and bail them out the way it stepped up and bailed out the thrift industry.’’ Under Fannie Mae’s pilot program, consumers who qualify can secure a mortgage with an interest rate one percentage point above that of a conventional, 30-year fixed rate mortgage of less than $240,000 — a rate that currently averages about 7.76 per cent. If the borrower makes his or her monthly payments on time for two years, the one percentage point premium is dropped.
Fannie Mae, the nation’s biggest underwriter of home mortgages, does not lend money directly to consumers. Instead, it purchases loans that banks make on what is called the secondary market. By expanding the type of loans that it will buy, Fannie Mae is hoping to spur banks to make more loans to people with less-than-stellar credit ratings. Fannie Mae officials stress that the new mortgages will be extended to all potential borrowers who can qualify for a mortgage. But they add that the move is intended in part to increase the number of minority and low income home owners who tend to have worse credit ratings than non-Hispanic whites.
Home ownership has, in fact, exploded among minorities during the economic boom of the 1990’s. The number of mortgages extended to Hispanic applicants jumped by 87.2 per cent from 1993 to 1998, according to Harvard University’s Joint Center for Housing Studies. During that same period the number of African Americans who got mortgages to buy a home increased by 71.9 per cent and the number of Asian Americans by 46.3 per cent. In contrast, the number of non-Hispanic whites who received loans for homes increased by 31.2 per cent.
Despite these gains, home ownership rates for minorities continue to lag behind non-Hispanic whites, in part because blacks and Hispanics in particular tend to have on average worse credit ratings. In July, the Department of Housing and Urban Development proposed that by the year 2001, 50 percent of Fannie Mae’s and Freddie Mac’s portfolio be made up of loans to low and moderate-income borrowers. Last year, 44 percent of the loans Fannie Mae purchased were from these groups.
The change in policy also comes at the same time that HUD is investigating allegations of racial discrimination in the automated underwriting systems used by Fannie Mae and Freddie Mac to determine the credit-worthiness of credit applicants.
NY Times Link Fannie Mae Article - Easing Credit...
For the next debate, McCain MUST, MUST, MUST directly attack Obama on his background regarding this mess!
He must bring up Obama’s work as a ACORN lawyer who sued Citi Group who was being charged for not giving more loans to poor people with poor credit.
He must bring up the fact that Freddie and Fannie were broke or in very bad shape as of 2001, and that the Bush administration repeatedly warned congress of this only to be blocked by RATS such as Frank.
He must bring up the fact that RATS such as Barney Frank refused to heed the warnings of mortgage lending policies and the dangers facing the financial markets.
He must remind all of Obama’s close links to Franklin Raines and Jim Johnson, and Obama’s mentality of pushing for give-aways to people with bad credit.
I hope you and YouTube are not located in Missouri as you could go to jail for spreading “lies” like these.
Another thought - actually a question - Why didn’t McCain talk about how the he (and Bush) tried to increase regulation?
Did he think he was going to lose conservative votes by being in favor of regulation?
I don’t want any GSE’s but if they are forced on us, then I am in favor of tough government regulation of them if we’re gonna have to bail them out.
Everyone else should be allowed to fail.
If you are a fool tuning into CNN, Chris Matthews will blame the Republicans, and if you have any evidence the to contrary, he will shout you down. Some of these youtube videos are incredible.
The longer this continues (and it will), the more politically OTT the Democrats are going to get. No telling what depths they’ll sink to.
The creation of huge commissions and bonuses from mere words.
That was enabled be another, earlier Wall Street and Finance dynamic -- the loosening into corruption of accounting and fiduciary standards from the 1970's on. That then allowed executive pay to skyrocket, fostered insiderism, and culminated in the 1999 repeal of the 1933 Glass-Seagal Act that kept banks separate from investment houses, and led directly to the outbreak of metastasized cancer of too-complicated derivative contracts. They had to be too complicated by design -- for that inscrutability allowed them to be valued at current fantasy.
* * *
The Three Legs of Massive Fail
(1) Beltway Mandates Bad Debt or Die. Late 1980's through today. Powerful Beltway political cronyism implementing a highly corrupt self-dealing favors, bribery and kickbacks system via the rubric of home ownership for all. CRA and Freddie and Fannie. (Also includes the student loan biz, as a parallel endeavor of political corruption.)
(2) Poisonous Financial Confection of Inscrutable Derivatives. 1980's through today. Strictly a Wall Street confection. Too brilliantly complicated for the corrupt sods in congress. A cancer that metastasized in 1999 when banks and investment houses were allowed to marry and become as one.
(3) Weakened Accounting and Fiduciary Standards. Mid 1970's through today. Started with the cocaine craze among the suited class. Corporate and Banking financiers and auditors became "Lords of the Universe". Professional standards dropped, accounting standards weakened. The good left the trade or were outcast to small places.
Not a big surprise about the democraps. They constantly blame Republicans for the mess that they make.
The second link for the youtube video did not work. do you have another link please?
Since HUD was big on making this mess - and profiting from it - I wonder what percentage of black loans went into default.
http://www.youtube.com/watch?v=NU6fuFrdCJY
Please watch the above video and then Google the info when you are done. If you google the information you will find the info in this video is factual. We must not bail out the same people who caused the problem. We must have new regulations and oversite put in place before we hand the very same people who put us in this boat 700 billion dollars.
Another thing, you will not find this kind of information in the Lame er Main Stream Media. The people truely responsible for this problem are in bed with CNN, MSNBC, ABC, CBS, and NBC. So just forget about the media looking out for little folk like me and you.
Please watch this one too:
http://www.youtube.com/watch?v=_MGT_cSi7Rs
Please note that if the Democraticly lead Congress would have pushed their rescue bill threw last week, we would be giving the same people who caused the problem almost one trillion dollars without oversite or re-regulating to fix the problem.
And I will add one more statement: Barrack Hussein Obozo is telling the American people that it was the greed of Wall Street and the Regulators who are the problem. After watching these video and verifying the information, I am going to say that Obozo will not want you and I to know the truth. His greedy friends are getting fatter while you and I are getting poorer.
Have gotten a working link, post 51. :)
Thanks much Jim. Kudos to Forrestfire, in this instance I am merely the humble FReeper with the HTML Sandbox skills ;) WA FReepers Rock!
PS Hope you and your family are in good health and doing well!
LOL Only if Obama is put in there FIRST! ;)
BUMP New link for second video... Please see Post 51
Thanks for the Bump Libertina.:)
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