Bloomberg to Protesters: Congress, Not Banks, to Blame for Mortgage Crisis Read more

Why do you say that you are from the real Colubmia, PC? We all know you are from Missouri.

Jakey...when I said I was a Southern Girl...I meant South Korea!

I didn't realize that you were geography challenged as well, and 'South' could only mean Missouri to you!

Be aware...when folks use your name and 'miss' in the same sentence they hardly mean Missouri, as well. I usually refers to the point you've missed.
 
"It was not the banks that created the mortgage crisis. It was, plain and simple, Congress

Read more: Bloomberg To Protesters: Congress, Not Banks, To Blame For Mortgage Crisis | Fox News

Simple chronology for ALL you who still don't get it!!!

A) 1995 Obama/ACORN threaten Citibank occupy offices for 3 days to force subprime loans to unqualified people!
B) Banks FORCED to make bad loans confronted by FDIC regarding toxic loans forced BANKS to go to Fannie /Freddie Backed by Full faith and credit of Federal govt.!
C) Fannie/Freddie protected by Democrat Congress/Frank/Dodd package loans and resell to investors who BUY because investors know:
Fannie Mae and Freddie Mac have an ``effective'' federal guarantee, not the
"full faith and credit'' of the U.S. government, Federal Housing Finance Agency Director James Lockhart said after the hearing. That does give them effectively a guarantee of the U.S. government.''
Lockhart's Fannie, Freddie Guarantee Remarks Stir Up Confusion - Bloomberg
So the bubble burst WHEN and again evidently MOST of you don't know this:
Economic Terrorist Attack of 9/18/2008 happened!!!

"By 2pm that afternoon, $5.5 trillion would have been drawn out of the
money market system of the U.S., would have collapsed the entire
economy of the U.S., and within 24 hours the world economy would have
collapsed. It would have been the end of our economic system and our
political system as we know it."
Zero Hedge: How The World Almost Came To An End At 2PM On September 18

Bloomberg is a lying sack of shit.

Wall Street destroyed the world economy with a $516 trillion dollar derivatives Ponzi scheme.
 
The GOP pays my travel expenses when I work on its behalf, but since I don't drug or booze, it does not pay for that. It does pay me to make sure folks like you only get to give their votes and $$$ but nothing else.
 
"It was not the banks that created the mortgage crisis. It was, plain and simple, Congress

Read more: Bloomberg To Protesters: Congress, Not Banks, To Blame For Mortgage Crisis | Fox News

Simple chronology for ALL you who still don't get it!!!

A) 1995 Obama/ACORN threaten Citibank occupy offices for 3 days to force subprime loans to unqualified people!
B) Banks FORCED to make bad loans confronted by FDIC regarding toxic loans forced BANKS to go to Fannie /Freddie Backed by Full faith and credit of Federal govt.!
C) Fannie/Freddie protected by Democrat Congress/Frank/Dodd package loans and resell to investors who BUY because investors know:
Fannie Mae and Freddie Mac have an ``effective'' federal guarantee, not the
"full faith and credit'' of the U.S. government, Federal Housing Finance Agency Director James Lockhart said after the hearing. That does give them effectively a guarantee of the U.S. government.''
Lockhart's Fannie, Freddie Guarantee Remarks Stir Up Confusion - Bloomberg
So the bubble burst WHEN and again evidently MOST of you don't know this:
Economic Terrorist Attack of 9/18/2008 happened!!!

"By 2pm that afternoon, $5.5 trillion would have been drawn out of the
money market system of the U.S., would have collapsed the entire
economy of the U.S., and within 24 hours the world economy would have
collapsed. It would have been the end of our economic system and our
political system as we know it."
Zero Hedge: How The World Almost Came To An End At 2PM On September 18

Bloomberg is a lying sack of shit.

Wall Street destroyed the world economy with a $516 trillion dollar derivatives Ponzi scheme.

I'm going to file this post with your posts supporting AGW.
 
"It was not the banks that created the mortgage crisis. It was, plain and simple, Congress

Read more:Bloomberg To Protesters: Congress, Not Banks, To Blame For Mortgage Crisis | Fox News

Simple chronology for ALL you who still don't get it!!!

A) 1995 Obama/ACORN threaten Citibank occupy offices for 3 days to force subprime loans to unqualified people!
B) Banks FORCED to make bad loans confronted by FDIC regarding toxic loans forced BANKS to go to Fannie /Freddie Backed by Full faith and credit of Federal govt.!
C) Fannie/Freddie protected by Democrat Congress/Frank/Dodd package loans and resell to investors who BUY because investors know:
Fannie Mae and Freddie Mac have an ``effective'' federal guarantee, not the
"full faith and credit'' of the U.S. government, Federal Housing Finance Agency Director James Lockhart said after the hearing. That does give them effectively a guarantee of the U.S. government.''
Lockhart's Fannie, Freddie Guarantee Remarks Stir Up Confusion - Bloomberg So the bubble burst WHEN and again evidently MOST of you don't know this:
Economic Terrorist Attack of 9/18/2008 happened!!!

"By 2pm that afternoon, $5.5 trillion would have been drawn out of the
money market system of the U.S., would have collapsed the entire
economy of the U.S., and within 24 hours the world economy would have
collapsed. It would have been the end of our economic system and our
political system as we know it."
Zero Hedge: How The World Almost Came To An End At 2PM On September 18

What a bunch of bull. Corporations lobbied for deregulation and that deregulation allowed them to bundle poorly rated loans with highly rated ones so they could sell the bad mortgages under a top credit status.

The house of cards collapsed when the deregulated oil companies (remember how the president used to cap the price of gas, well not any more) jacked the price of gas to the point that some of the higher rated mortgages started to fall behind and default.

You bastards have been playing this bald face B.S. game for years, how long do you expect the American people to put up with it?

On a personal note, Bloomberg is a lying piece of crap. Ya know his show the Bloomberg report host Koch Brothers darling Veronique de Rugy every week so she can push bullshit conservative propaganda under the guise of making a financial report? These assholes make me sick and so do you.
 
hmmm... forgot the american dream act of 2003 where republicans were taking taxpayer money and giving it to people with bad credit for loans on houses......

not to mention the bush admin leaning on feddie and fannie to increase minority home ownership at any cost........

the crash started when arms started kicking in and people could no longer afford their mortgages......


funny how freddie and fannie are blamed on frank and dodd during a republican controlled congress and dems could not even hold meetings during "the hammer" years.......

a republican congress....

a republican presidency......

and who do republicans blame? dems.......

[ame=http://www.youtube.com/watch?v=LPSDnGMzIdo&feature=youtube_gdata_player]Democrats were WARNED of Financial crisis and did NOTHING - YouTube[/ame]

Democrats On Fannie Mae And Freddie Mac

As I stated before on another thread, the bad mortagage investments that involved Fannie Mae and Freddie Mac stemmed from Government legislation that drove banks into making such bad mortgage loans:

The Government Did It
Yaron Brook

The Community Reinvestment Act (CRA) forces banks to make loans in poor communities, loans that banks may otherwise reject as financially unsound. Under the CRA, banks must convince a set of bureaucracies that they are not engaging in discrimination, a charge that the act encourages any CRA-recognized community group to bring forward. Otherwise, any merger or expansion the banks attempt will likely be denied. But what counts as discrimination?

According to one enforcement agency, "discrimination exists when a lender's underwriting policies contain arbitrary or outdated criteria that effectively disqualify many urban or lower-income minority applicants." Note that these "arbitrary or outdated criteria" include most of the essentials of responsible lending: income level, income verification, credit history and savings history--the very factors lenders are now being criticized for ignoring.

The government has promoted bad loans not just through the stick of the CRA but through the carrot of Fannie Mae and Freddie Mac, which purchase, securitize and guarantee loans made by lenders and whose debt is itself implicitly guaranteed by the federal government.

The Government Did It - Forbes.com


The Trillion-Dollar Bank Shakedown That Bodes Ill for Cities
Howard Husock

"Our job," says Marks, "is to push the envelope." Accordingly, he gladly lends to people with less than $3,000 in savings, or with checkered credit histories or significant debt. Many of his borrowers are single-parent heads of household. Such borrowers are, Marks believes, fundamentally oppressed and at permanent disadvantage, and therefore society must adjust its rules for them. Hence, NACA's most crucial policy decision: it requires no down payments whatsoever from its borrowers. A down-payment requirement, based on concern as to whether a borrower can make payments, is—when applied to low-income minority buyers—"patronizing and almost racist," Marks says.

. . . A no-down-payment policy reflects a belief that poor families should qualify for home ownership because they are poor, in contrast to the reality that some poor families are prepared to make the sacrifices necessary to own property, and some are not. Keeping their distance from those unable to save money is a crucial means by which upwardly mobile, self-sacrificing people establish and maintain the value of the homes they buy. If we empower those with bad habits, or those who have made bad decisions, to follow those with good habits to better neighborhoods—thanks to CRA's new emphasis on lending to low-income borrowers no matter where they buy their homes—those neighborhoods will not remain better for long.

The Trillion-Dollar Bank Shakedown That Bodes Ill for Cities by Howard Husock, City Journal Winter 2000
 
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hmmm... forgot the american dream act of 2003 where republicans were taking taxpayer money and giving it to people with bad credit for loans on houses......

not to mention the bush admin leaning on feddie and fannie to increase minority home ownership at any cost........

the crash started when arms started kicking in and people could no longer afford their mortgages......


funny how freddie and fannie are blamed on frank and dodd during a republican controlled congress and dems could not even hold meetings during "the hammer" years.......

a republican congress....

a republican presidency......

and who do republicans blame? dems.......

[ame=http://www.youtube.com/watch?v=LPSDnGMzIdo&feature=youtube_gdata_player]Democrats were WARNED of Financial crisis and did NOTHING - YouTube[/ame]

Democrats On Fannie Mae And Freddie Mac

As I stated before on another thread, the bad mortagage investments that involved Fannie Mae and Freddie Mac stemmed from Government legislation that drove banks into making such bad mortgage loans:

The Government Did It
Yaron Brook

The Community Reinvestment Act (CRA) forces banks to make loans in poor communities, loans that banks may otherwise reject as financially unsound. Under the CRA, banks must convince a set of bureaucracies that they are not engaging in discrimination, a charge that the act encourages any CRA-recognized community group to bring forward. Otherwise, any merger or expansion the banks attempt will likely be denied. But what counts as discrimination?

According to one enforcement agency, "discrimination exists when a lender's underwriting policies contain arbitrary or outdated criteria that effectively disqualify many urban or lower-income minority applicants." Note that these "arbitrary or outdated criteria" include most of the essentials of responsible lending: income level, income verification, credit history and savings history--the very factors lenders are now being criticized for ignoring.

The government has promoted bad loans not just through the stick of the CRA but through the carrot of Fannie Mae and Freddie Mac, which purchase, securitize and guarantee loans made by lenders and whose debt is itself implicitly guaranteed by the federal government.

The Government Did It - Forbes.com


The Trillion-Dollar Bank Shakedown That Bodes Ill for Cities
Howard Husock

"Our job," says Marks, "is to push the envelope." Accordingly, he gladly lends to people with less than $3,000 in savings, or with checkered credit histories or significant debt. Many of his borrowers are single-parent heads of household. Such borrowers are, Marks believes, fundamentally oppressed and at permanent disadvantage, and therefore society must adjust its rules for them. Hence, NACA's most crucial policy decision: it requires no down payments whatsoever from its borrowers. A down-payment requirement, based on concern as to whether a borrower can make payments, is—when applied to low-income minority buyers—"patronizing and almost racist," Marks says.

. . . A no-down-payment policy reflects a belief that poor families should qualify for home ownership because they are poor, in contrast to the reality that some poor families are prepared to make the sacrifices necessary to own property, and some are not. Keeping their distance from those unable to save money is a crucial means by which upwardly mobile, self-sacrificing people establish and maintain the value of the homes they buy. If we empower those with bad habits, or those who have made bad decisions, to follow those with good habits to better neighborhoods—thanks to CRA's new emphasis on lending to low-income borrowers no matter where they buy their homes—those neighborhoods will not remain better for long.

The Trillion-Dollar Bank Shakedown That Bodes Ill for Cities by Howard Husock, City Journal Winter 2000

The Democrats were out of power across the board in 2003.
 
When will any of you idiots get through your heads that poor people in poor neighborhoods were not the cause of the real estate meltdown?

I realize that it's every conservative's dream to blame the worst of our woes on poor black people,

but, jeezus, rein it in a little. You sound ridiculous.
 
The Democrats were out of power across the board in 2003.

The Democrats were blocking any regulation of Fannie Mae and Freddie Mac from ever taking place:

September 1999

With pressure from the Clinton Administration, Fannie Mae eased credit requirements on loans it would purchase from lenders, making it easier for banks to lend to borrowers unqualified for conventional loans. Raines explained that "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," reported the New York Times.

With this action, Fannie Mae put itself at substantial risk in the event of an economic downturn. "From the perspective of many people, including me, this is another thrift industry growing up around us," warned Peter Wallison. "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." The danger was known.


September 1999

A study by Freddie Mac, confirming earlier Federal Reserve and FDIC studies, contradicts race discrimination arguments for CRA. The study found that African-Americans with annual incomes of $65-$75,000 have on average worse credit records than whites making under $25,000, showing that the difficulty in qualifying was not because of race but because of bad credit records. The Federal Reserve Bank of Dallas accordingly entitled a paper "Red Lining or Red Herring?"


March 2000

Rep. Richard Baker (R-Louisiana) proposed a bill to reform Fannie and Freddie's oversight in a House Subcommittee on Capital Markets.

Rep. Frank (D-Massachusetts) dismissed the idea, saying concerns about the two were "overblown" and that there was "no federal liability there whatsoever."


June 2003

Freddie Mac reported it had understated its profits by $6.9 billion. OFHEO director Armando Falcon Jr. requested that the White House audit Fannie Mae.


July 2003

Sens. Chuck Hagel (R-Nebraska), Elizabeth Dole (R-North Carolina) and John Sununu (R-New Hampshire) introduced legislation to address Regulation of Fannie Mae and Freddie Mac. The bill was blocked by Democrats


September 2003

Treasury Secretary John Snow testifies that Congress enact "legislation to create a new Federal agency to regulate and supervise the financial activities of our housing-related government sponsored enterprises" and set prudent and appropriate minimum capital adequacy requirements, says a White House release.

Rep. Barney Frank (D-Massachusetts): "I do not think we are facing any kind of a crisis. That is, in my view, the two government sponsored enterprises we are talking about here, Fannie Mae and Freddie Mac, are not in a crisis.


October 2003

Fannie Mae discloses $1.2 billion accounting error.


September 2004

OFHEO reported that Fannie Mae and CEO Raines had manipulated its accounting to overstate its profits. Congress and the Bush administration sought strong new regulation and authority to put the GSEs under conservatorship if necessary. As the Washington Post reports, Fannie Mae and Freddie Mac responded by orchestrating a major campaign "by traditional allies including real estate agents, home builders and mortgage lenders. Fannie Mae ran radio and television ads ahead of a key Senate committee meeting, depicting a Latino couple who fretted that if the bill passed, mortgage rates would go up." Again, GSE pressure prevailed.


October 2004

Rep. Baker again warned about the coming crisis in the Wall Street Journal: "Then there's the lesson of a company, Frankenstein-like, seemingly grown so powerful that it can intimidate and arrogantly flout all accountability to the very government that created it."

In a subcommittee testimony, Democrats vehemently reject regulation of Fannie Mae in the face of dire warning of a Fannie Mae oversight report. A few of them, Black Caucus members in particular, are very angry at the OFHEO Director as they attempt to defend Fannie Mae and protect their CRA extortion racket.

Rep. Maxine Waters (D-California): "Through nearly a dozen hearings where, frankly, we were trying to fix something that wasn't broke."

Rep. Maxine Waters (D-California): "Mr. Chairman, we do not have a crisis at Freddie Mac, and particularly at Fannie Mae, under the outstanding leadership of Mr. Frank Raines."

Rep. Gregory Meeks (D-New York): "And as well as the fact that I'm just pissed off at OFHEO, because if it wasn't for you I don't think that we'd be here in the first place, and now the problem that we have and that we're faced with is: maybe some individuals who wanted to do away with GSEs in the first place, you've given them an excuse to try to have this forum so that we can talk about it and maybe change the, uh, the direction and the mission of what the GSEs had, which they've done a tremendous job. There's been nothing that was indicated that's wrong, you know, with uh Fannie Mae. Freddie Mac has come up on its own. And the question that then presents is the competence that, that, that, that your agency has, uh, with reference to, uh, uh, deciding and regulating these GSEs. Uh, and so, uh, I wish I could sit here and say that I'm not upset with you, but I am very upset because, you know, what you do is give, you know, maybe giving any reason to, as Mr. Gonzales said, to give someone a heart surgery when they really don't need it."

Rep. Ed Royce (R-California): "In addition to our important oversight role in this committee, I hope that we will move swiftly to create a new regulatory structure for Fannie Mae, for Freddie Mac, and the federal home loan banks."

Rep. Lacy Clay (D-Missouri): "This hearing is about the political lynching of Franklin Raines."

Rep. Barney Frank (D-Massachusetts): "Uh, I, this, you, you, you seem to me saying, ‘Well, these are in areas which could raise safety and soundness problems.' I don't see anything in your report that raises safety and soundness problems."

Rep. Maxine Waters (D-California): "Under the outstanding leadership of Mr. Frank Raines, everything in the 1992 Act has worked just fine. In fact, the GSEs have exceeded their housing goals. What we need to do today is to focus on the regulator, and this must be done in a manner so as not to impede their affordable housing mission, a mission that has seen innovation flourish from desktop underwriting to 100% loans."

Rep. Lacy Clay (D-Missouri): "I find this to be inconsistent and a and a rush to judgment. I get the feeling that the markets are not worried about the safety and soundness of Fannie Mae as OFHEO says that it is, but of course the markets are not political."

Rep. Barney Frank (D-Massachusetts): "But I have seen nothing in here that suggests that the safety and soundness are at issue, and I think it serves us badly to raise safety and soundness as kind of a general shibboleth when it does not seem to me to be an issue."


January 2005-July 2006

Sen. Chuck Hagel (R-Nebraska), co-sponsored by Sens. Sununu and Dole and later Sen. McCain, re-introduced legislation to address GSE regulation.

Bloomberg writes, "If that bill had become law, then the world today would be different. . . . But the bill didn't become law, for a simple reason: Democrats opposed it on a party-line vote in the committee, signaling that this would be a partisan issue. Republicans, tied in knots by the tight Democratic opposition, couldn't even get the Senate to vote on the matter. That such a reckless political stand could have been taken by the Democrats was obscene even then."
http://www.americanthinker.com/2008/10/what_really_happened_in_the_mo.html

New Agency Proposed to Oversee Freddie Mac and Fannie Mae
By STEPHEN LABATON
Sept 11, 2003

The Bush administration today recommended the most significant regulatory overhaul in the housing finance industry since the savings and loan crisis a decade ago.

Under the plan, disclosed at a Congressional hearing today, a new agency would be created within the Treasury Department to assume supervision of Fannie Mae and Freddie Mac, the government-sponsored companies that are the two largest players in the mortgage lending industry.

The new agency would have the authority, which now rests with Congress, to set one of the two capital-reserve requirements for the companies. It would exercise authority over any new lines of business. And it would determine whether the two are adequately managing the risks of their ballooning portfolios.

The plan is an acknowledgment by the administration that oversight of Fannie Mae and Freddie Mac -- which together have issued more than $1.5 trillion in outstanding debt -- is broken.

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Among the groups denouncing the proposal today were the National Association of Home Builders and Congressional Democrats who fear that tighter regulation of the companies could sharply reduce their commitment to financing low-income and affordable housing.

http://www.nytimes.com/2003/09/11/b...to-oversee-freddie-mac-fannie-mae.html?rsc=pm
 
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Who claimed that it was Obama that passed the equal housing lending laws which pushed the banks to lending to high risk people or face consequences?

...please...


As I assumed you now realize you were wrong.


When will any of you idiots get through your heads that poor people in poor neighborhoods were not the cause of the real estate meltdown?

I realize that it's every conservative's dream to blame the worst of our woes on poor black people,

but, jeezus, rein it in a little. You sound ridiculous.

No one is saying it was the poor people's fault, we are blaming the federal govt for pressuring the banks to give out loans to give out loans under the equal lending act to lower income groups that were previously considered too risky for the banks. In order to get the banks to go along they allowed the banks to bundle these risky mortgages into mortgage backed securities.

Its the govt's fault that the banks lended money to people who were too poor to pay it back, its not the poor people's fault for wanting to get a house.
 
Both sides are at fault. For 12 years, the GOP could have fixed it. At one time, Dems were all for helping to fix it. Neither did.

Either we work together as a country, or we fail.
 
Both sides are at fault. For 12 years, the GOP could have fixed it. At one time, Dems were all for helping to fix it. Neither did.

Either we work together as a country, or we fail.

No, you mindless hack, "both sides' are not at fault, YOUR SIDE, created this mess. The Republicans tried repeatedly to reign the mess in, but you scumbags screamed "RACIST" at them and blocked any attempts at reform.

Now that you got caught with your pants down and your dick actually in the dog, you claim "Well both sides do it..."
 
Makes sense to me, congress allowed this bullshit to happen, and took bribe money to that end.

We need to destroy our congress and hire a new one with stricter congressional regulations and term limits.


And for the record, both sides are indeed at fault for this mess. Blaming one side or the other is simply putting party ahead of the country.
 
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Makes sense to me, congress allowed this bullshit to happen, and took bribe money to that end.

We need to destroy our congress and hire a new one with stricter congressional regulations and term limits.


And for the record, both sides are indeed at fault for this mess. Blaming one side or the other is simply putting party ahead of the country.

YES! I'm glad we can all apparatly agree that the congress passed the laws, it was both parties at fault, and I HOPE we can all agree we should kick the bums out!

PinkSlip.jpg
 
Both sides are at fault. For 12 years, the GOP could have fixed it. At one time, Dems were all for helping to fix it. Neither did.

Either we work together as a country, or we fail.

No, you mindless hack, "both sides' are not at fault, YOUR SIDE, created this mess. The Republicans tried repeatedly to reign the mess in, but you scumbags screamed "RACIST" at them and blocked any attempts at reform.

Now that you got caught with your pants down and your dick actually in the dog, you claim "Well both sides do it..."

That's not even true.
 

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