Keep insisting your last domino is the first won`t make it a reality:
In 1995 the Clinton administration’s Treasury Department issued regulations tracking loans by neighborhoods, income groups and races to rate the performance of banks.
.
The ratings were used by regulators to determine whether the government would approve bank mergers, acquisitions and new branches.
.
.
By the way, does it sound like an unfettered mortgage market to you so far? No, the government’s all over this business; and for all the wrong reasons!
.
.
The regulations also encouraged statist-aligned groups such as ACORN and the Neighborhood Assistance Cooperation of America to file petitions with regulators (or threaten to) to slow or even prevent banks from conducting their business by challenging the extent to which banks were issuing these loans.
.
.
.
With such powerful leverage over banks some groups were able, in effect, to legally extort banks to make huge pools of money available to the groups; money they in turn used to make loans. The banks and community groups issued loans to low income individuals who often had bad credit or insufficient income.
.
These loans, which become known as ‘sub-prime loans’, made available 100% financing, did not always require the use of credit scores and were even made without documenting income; by government regulation and litigation from the left.
.
.
Therefore the government insisted that banks, particularly those who wanted to expand, abandon traditional underwriting standards. One estimate puts the figure of CRA-eligible loans at 4.5 trillion dollars in sub-prime toxic loans based on government policy.
.
Oh, that unfettered free market!
.
LESSON : You`re still crazy and at this point I suspect just a DNC stooge paid to stir the pot since no one is that stupid.