Posted on 11/28/2008 5:45:34 PM PST by Kaslin
Regulation: The Community Reinvestment Act is to blame for the financial crisis, but it so powerfully serves Democrats' interests that they'll do anything to protect it — including revising history.
The CRA should be abolished, along with the government-sponsored enterprises that fueled the secondary market for subprimes — under pressure from Clinton, who ordered HUD to set quotas for "affirmative action" lending at Fannie Mae and Freddie Mac.
But powerful Democrats in Washington want to protect the act — along with Fannie and Freddie — and spin the subprime scandal as the result of too little regulation, not too much.
"Repealing or weakening the CRA would be a mistake," warns Senate Banking Committee Chairman Chris Dodd, D-Conn., who argues that the CRA should be strengthened.
(Excerpt) Read more at ibdeditorials.com ...
So the current crises will be enacted over and over and over.
The liberals are in charge
And to add insult to injury, ACORN gets 4.5 points for EVERY loan at Freddie and Fannie. And they received 100 million dollars in the bailout.
What they will do is keep taxing us to pay the cost of free housing.
John McCain should have placed the blame here, but I’ll bet he voted for this bill.
>”The notion that CRA has caused this problem is a pernicious thought,” said former Comptroller of the Currency Gene Ludwig. “These are not truthful statements. The CRA has helped to create a better and sounder world for finance, not the opposite.”
Dead wrong.<
bingo.
This article is dead on spot. Recommend everybody keep a copy of this to shove in the faces of those idiots that insist on posting derivatives etc. as the cause. Those that post such nonsense are spreading the lie the Democrats are promoting to cover their arses.
Expect hearings soon on how mortgage lenders and investment firms caused defaults.
And to add insult to injury, ACORN gets 4.5 points for EVERY loan at Freddie and Fannie. And they received 100 million dollars in the bailout.
What they will do is keep taxing us to pay the cost of free housing.
It’s really a cruel trick to con poor people into thinking they can afford a house when they can’t.
President Carter signed the Community Reinvestment Act in 1977 but it was originally only intended to ensure that monies saved within a community be reinvested within the community instead of being sent outside to get higher earnings. Sec. Rubin under Clinton greatly expanded the act to open housing up to those less qualified. The dems infiltrated the appropriate offices of gov and Wall St. to where the situation is now out of control.
Our last “free election” was in 2004. With ACORN involvement in 2008 and beyond we have already had our last free election.
And yes, they used our own money to steal our freedom and make us all slaves to the collective.
Welfare programs move in only one direction. Nothing short of a cataclysm will reverse them.
CHeck who you bank with. My deposits are with a bank that does not sell home loans. I’m sure they are in compliance with the CRA; but, obviously they don’t get too crazy with it, since they will be holding the loans. It makes me feel better about my deposits, and ensures that I’m not a part of this madness. Help the market stop the craziness - bank with a solid local bank, that does’t sell loans. If you’re not sure, ask ‘em.
Amen!
Imagine someone trying to sell you something that stretches you clear to the limit of what you can afford, and you bite.
Then come other fees and expenses you weren’t warned of, and you have to give up almost everything else.
And then something like taxes are added in, or insurance on it goes up, or something that has to be fixed breaks...and you don’t have the money anymore.
These mortgages are vigs. In earlier days, businesspeople would have been thrown in jail for preying on people.
Selling and giving our mortgages to people who can’t afford them is just plain cruel.
These things aren’t ‘instruments.’ They’re snake oil.
good reply.
thank you.
Bankers are still required to take a refresher course on compliance with this atrocity annually.
I just completed my re-up. It is disgusting and always has been.
Not as silly whne it comes from Investors Business Daily?
Is it possible for you to understand what I tried to tell you and what IBD is trying to tell you now?
A pity most Americans are so damned ignorant.
It’s the same trick as telling some students that they are worthy of entrance into a high powered university when they actually should go to a less intensive college. They could get a degree at the less intensive school, but they end up flunking out of the high powered school instead. No degree, no nothing, except bitterness at society. A ready made Democrat.
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