“Blacks did not default on loans any less than whites did, despite greater difficulty in getting loans. Based on long term financial history, home location, educational attainment, etc., a black person earning the same money as a white person would be less likely to successfully pay off the loan. But that meant that bank loaning policies had a “disparate effect” on blacks.”
The first sentence appears inconsistent with the next two. In any event, blacks are less creditworthy than whites based on default rates. East Asians are the most creditworthy. We have known this since the 70’s when the Carter Administration ginned up the bogus mortgage banking “redlining” issue.
Black leaders and their supporters, i.e. about 90% of blacks, were very much behind pushing the CRA and all the other destructive policies that created the mortgage market disaster. Illegals were also a major part of the problem, but the CBC, allied with leftists such as Jimmy Carter, Barney Frank and AA incompetents such as Franklin Raines and Janet Reno, are mainly to blame for creating and expanding the policies that led to the mortgage crisis.
Basically, what’s wrong with “if you pay your bills on time and have sufficient assets and income, you can get a loan?”