[Fee]

Before we slam the EBT cardholders for stealing while the system snafued, we better go after the real crooks who did the same thing. Wall Street Bankers.
When the gov forced bankers to do subprime mortgages Pres Clinton offer to mitigate the risks by having these loans bundled and Freddie Mac/Fannie Mae buy them within six months of underwriting.
Bankers discovered Freddie Mac/Fannie Mae did not review the info on the applications when they purchased them. Bankers flooded this loophole in the federal system and immediately instructed their mortgage agents to encourage liar loans. Income, bank account funds and credit scores were made up so applicants can buy homes they normally cannot afford. The banks earn more fees and points if the loan amounts were larger. Banks could have done the moral thing and stick to their common commercial practice they use to protect themselves, but felt they did not need to do that if the gov (taxpayers) were on the hook, thus the bankers choose to go full steam ahead into the regulatory gap with liar loans.
The rest is history on Sept 2008. Any bankers go to jail??!!! If the poor figure the Harvard and Yale grads CEO do not have to be honest when the gov screws up, why should they?

[abb]

Thread hijack in progress...

[Chode]

somebody posted the same rant at the dump on a similar thread... just saying

[combat_boots]

Some of them stepped in front of trains.

[txhurl]

Quite god point.

[kitkat]

Bankers were fined a huge amount if they turned down loans to blacks. It was called redlining and it forced the banks to make the loans.