What is the Republican economic Plan?

[Revere]

Then it's not going to bend the cost curve down, which was claimed.

 

[California Girl]

Government demanded banks make loans to unqualified buyers, and threatened them if they did not.

http://www.bos.frb.org/commdev/commaff/closingt.pdf

Credit History: Lack of credit history should not be seen as a negative factor.... In reviewing past credit problems, lenders should be willing to consider extenuating circumstances. For lower–income applicants in particular, unforeseen expenses can have a disproportionate effect on an otherwise positive credit record. In these instances, paying off past bad debts or establishing a regular repayment schedule with creditors may demonstrate a willingness and ability to resolve debts....

Down Payment and Closing Costs: Accumulating enough savings to cover the various costs associated with a mortgage loan is often a significant barrier to homeownership by lower-income applicants. Lenders may wish to allow gifts, grants, or loans from relatives, nonprofit organizations, or municipal agencies to cover part of these costs. . . .

Sources of Income: In addition to primary employment income, Fannie Mae and Freddie Mac will accept the following as valid income sources: overtime and part–time work, second jobs (including seasonal work), retirement and Social Security income, alimony, child support, Veterans Administration (VA) benefits, welfare payments, and unemployment benefits.

Accepting these new criteria was hardly voluntary. The Fed warned the banks:

"Did You Know? Failure to comply with the Equal Credit Opportunity Act or Regulation B can subject a financial institution to civil liability for actual and punitive damages in individual or class actions. Liability for punitive damages can be as much as $10,000 in individual actions and the lesser of $500,000 or 1 percent of the creditor’s net worth in class actions."

Yep, they did. And the likes of the SEIU and ACORN organized sit ins at banks to force them to lend.... now it's all gone to hell, they're pointing the finger at the banks. It is funny how the lefties all overlook their own complicity in this fucking mess.

 

[Revere]

The only thing Obama knows about banks is that he threatened them as a community organizer to make loans to unqualified people.

 

[Sallow]

SEIU and ACORN were perfectly within their Constitution rights to advocate for the poor.

The congress, however, violated the US Constitution when it defunded ACORN.

That one would have been a winner for Conservatives, since it was President Obama who signed the bill.

 

[LiberalNut]

Government demanded banks make loans to unqualified buyers

This is of course a LIE. And, of course, the thing you linked to said no such thing. All CRA did was end unfair lending practices where entire neighborhoods (not surprisingly the minority neighborhoods) were blocked from getting credit. That's it. While it is true Fannie and Freddie were encouraged to have a certain percentage of loans be to lower incomes, the only "threat" involved was one of audit, which was never carried out. The government had nothing whatsoever to do with loosening underwriting standards. That was all Wall Street. And, finally, it was not exessive defaults on the lower income loans that caused the meltdown. That data has already been shown to you.

So, in short, you are regurgitating a bunch of right wing noise machine lies and you are impervious to facts.

Why am I not surprised?

 

[Revere]

There is no Constitutional right for people who can't afford mortgages to be given one anyway.

But at least we've flushed them on out what Obama really did to banks as a community organizer.

 

[Wry Catcher]

Personally, I believe those who voted for Reagan and Bush II's fiscal, political and diplomatic failures ought to pay. Didn't their failures lay the foundaton for the myriad problems facing America today?
The answer is yes, Cowboy diplomacy, don't tax and spend and a focus on wedge issues and not real problems solving created our current mess'.

 

[Revere]

Government demanded banks make loans to unqualified buyers

This is of course a LIE. And, of course, the thing you linked to said no such thing. All CRA did was end unfair lending practices where entire neighborhoods (not surprisingly the minority neighborhoods) were blocked from getting credit. That's it. While it is true Fannie and Freddie were encouraged to have a certain percentage of loans be to lower incomes, the only "threat" involved was one of audit, which was never carried out. The government had nothing whatsoever to do with loosening underwriting standards. That was all Wall Street. And, finally, it was not exessive defaults on the lower income loans that caused the meltdown. That data has already been shown to you.

So, in short, you are regurgitating a bunch of right wing noise machine lies and you are impervious to facts.

Why am I not surprised?

I posted the link. Those criteria are all discussed in there.

All CRA did was create one more unsustainable entitlement, this time, with disastrous effects on the economy.

 

[LiberalNut]

Are there any conservatives here who have a brain or is Revere typical?

 

[Revere]

Personally, I believe those who voted for Reagan and Bush II's fiscal, political and diplomatic failures ought to pay. Didn't their failures lay the foundaton for the myriad problems facing America today?
The answer is yes, Cowboy diplomacy, don't tax and spend and a focus on wedge issues and not real problems solving created our current mess'.

Actually, Clinton has acknowledged doing things which precipitated the mortgage meltdown.

 

[LiberalNut]

Those criteria are all discussed in there.

Then you won't have any trouble cutting and pasting the part where the government forces a bank to do anything.

I wait in breathless anticipation.

 

[LiberalNut]

Clinton has acknowledged doing things which precipitated the mortgage meltdown.

Well, he did. Most notably the repeal of Glass/Steagle. You know, eeeevil government regulation of the financial industry. THAT was a major contributor to the bubble/burst and, of course, it's a conservative idea. Bubba was a "New Democrat" into "triangulation". Remember?

 

[Revere]

No bad mortgages, no crashed financial system.

"Deregulation" is not government backing worthless mortgages which banks are free to securitize and trade.

 

[LiberalNut]

No bad mortgages, no crashed financial system.

No housing boom, no growth in GDP under Bush.

government backing worthless mortgages

This simply did not happen. It's a LIE.

banks are free to securitize and trade.

Ummm, that was the deregulation Revere. Under Glass/Steagle, banks couldn't do this.

 

[Revere]

Unqualified buyers artificially drove up values.

Government greenlighted these garbage loans every step of the way.

 

[Sallow]

No bad mortgages, no crashed financial system.

"Deregulation" is not government backing worthless mortgages which banks are free to securitize and trade.

This is laughable. Deregulation led directly to this outcome. The congress then basically forced this bad mortgages on Freddie and Fannie.

But it was mostly the fault of financial institutions that wanted the volume, then packaged these loans into financial instruments they could sell and then they bought "insurance" from banks against loss.

 

[Revere]

Obama's nominee for head of the NSA was a Fannie Mae lobbyist whose job it was to keep regulators off their backs.

Not banks lobbying against regulation, a GSE.

 

[LiberalNut]

Government greenlighted these garbage loans every step of the way.

Repeating a lie does not make the lie become true. The banks and the Wall Street financers caused this mess, empowered by right wing ideology of deregulation.

 

[LiberalNut]

The congress then basically forced this bad mortgages on Freddie and Fannie.

This is a LIE. You will not be able to show me any law that Congress passed that forced a bank to do anything. You simply won't.

 

[Revere]

Yes, that's true.

Congress, notably Barney Frank and Maxine waters, implored regulators to get off Fannie and Freddie's backs.