Republicans On Wrong Course On Financial Regulation Bill - It Will Show In November!

[Vast LWC]

Damn, why is it when you put a reasonable, comprehensive post in one of these threads, the thread stops dead?

LOL.

 

[California Girl]

The Gramm-Leach-Bliley Act which deregulated the industry was passed in 1999 and signed into law by President Clinton, but you already knew that of course. You're just a lying piece of shit with no credibility, but we all know that as well, of course.

I notice also that rdean conveniently overlooks one small, significant, issue.... Had Freddie and Fanny not lent money to people who could not afford to pay it back, then Wall St wouldn't have had a vast amount of toxic mortgages to bundle.

And who was it that started that crap? The lending of money to people who could not afford to borrow it? Well, gee.... wasn't ACORN and the SEIU behind that ridiculous plan? What a surprise.

Except that "Fannie/Freddie" required that you need to have a job and could pay back the mortgage.

The mortgages that Wall Street "gave away", came from Wall Street NOT "Freddie/Fannie".

--------------------------------------------

From 2003:

Adding to the uneasiness, Fannie Mae on Oct. 29 reported a $1.2 billion accounting error

Bush adviser warns of Fannie Mae, Freddie Mac risks - MarketWatch

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It was that accounting error that caused Freddie/Fannie to stop giving out mortgages. That business moved to Wall Street which was the beginning of end some 5 years later.

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You guys pretend to know so much. I guess it's easy when you just fucking lie and make shit up.

Me, I prefer to stick with "facts". They are always a "winning strategy".

I rely on facts too... And I am entertained by yours. I am entertained by the constant "you guys" that come - mainly from the left but sometimes from the right.... there are no "you guys".... and if you can't get that little fact straight, I wouldn't expect you to get the big stuff right either.

 

[Claudette]

The housing collapse happened when mortgages were moved from Freddie/Fannie to Wall Street, where they were literally given away, bundled and then sold as "securities". You guys can't pretend to be ignorant anymore. This is now known to be the facts. It all started with Republican deregulation early in Bush's first term.

The Gramm-Leach-Bliley Act which deregulated the industry was passed in 1999 and signed into law by President Clinton, but you already knew that of course. You're just a lying piece of shit with no credibility, but we all know that as well, of course.

Gramm-Leach-Bliley and the Commodoties Modernization act of 2000 were both passed by a Republican congress in 1999 and 2000, respectively.

Both legislations are specifically responsible for legalizing the types of credit-default swaps and derivative trades that were directly responsible for the Bubble and the collapse.

Fannie and Freddie were simply acting as they were allowed under the new laws, just like all the other financial institutions involved.


Now, you may say "But Clinton signed the legislation". That would be a fair point...

...if the Republicans didn't push through this legislation (with more than enough votes to override a veto) during a point in the Clinton presidency when they had specifically made him a Lame Duck via Monica Lewinsky.

Some folks on the right are trying to claim that Clinton is responsible for those Republican legislations. ROFL. That's just rich.

Now, what I am NOT saying is that Democrats are blameless in this situation.

Democrats were the ones who initiated the deregulation of mortgages that allowed banks to provide loans to people who couldn't afford them, and Democrats certainly did not try to rein in Freddie Mac and Fannie Mae when it was pointed out that there was some bad deals going down.

HOWEVER, without the Republican legislations listed above, the recent collapse would have cost about 1-2 Trillion dollars instead of 13 Trillion dollars, and no "Great Recession" would have come into existence in the first place.

Also. If the those in charge of oversite had been doing their jobs this mess probably wouldn't have happened.

Both parties share the blame.

There aren't any innocents in the whole mess.

 

[Vanquish]

On the day that you demonstrate the ability to think for yourself instead of regurgitating media crap, I'll debate you. Until then, forget it. Anyone who says 'wrong and wrong again' and then proceeds to back that up with drivel from the media is a joke.

Examine the facts - all of them - direct from the huge variety of real sources on the issue. Form an opinion, then come back and tell me why I'm wrong.... THINK FOR YOURSELF.

Oh...............I see...........you're waiting for your 'secret source' a.k.a. Glenn Beck to report the truth about ACORN...don't wait in the street.

Your sad and weak attempt at obfuscation and diversion would be laughable, but as you pointed out, I don't have a sense of humor.

There is plenty of documented evidence that ACORN was an early and consistent advocate against predatory lending.

http://lahd.lacity.org/lahdinternet/Portals/0/Policy/Predatory/19sources.pdf
-----------------------------
Acorn Protest Draws 2,000 in Philly

American Banker | Tuesday, June 27, 2000

By Rob Garver

WASHINGTON - More than 2,000 activists chanting "Predatory lender … criminal offender" descended Monday on Philadelphia's financial district and the local offices of Norwest Financial Inc., Lehman Brothers, and Salomon Smith Barney...
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BTW, the original article I posted was written by Eileen Markey, she’s a graduate of Columbia University’s Graduate School of Journalism and holds a degree in urban studies from Fordham University.

And YOUR qualifications Cali gal? The Glenn Beck school of pea brainisms?

You really are a whiner, Bf. You wanna know something really funny? You have actually linked to an article I wrote once - to back up your 'opinion'.

HAHAHAHAHAHAHAHA

You got your ass handed to you. God I do love this board sometimes.

Not only did you get your ass handed to you on a plate, but you don't say anything of merit when you're claiming he doesnt say anything of merit.

Then....you admit that you post articles from similar sources but your argument was that all he does is...wait for it ...wait for it...post articles!!!! Hooray!!!

What a fucking farcical drone you are.

 

[mudwhistle]

As usual the Republicans are protecting the thieves on Wall Street.

And it was Phil Gramm who wrote the legislation that caused the collapse, which was caused by a derivative bubble, not the housing industry.

You mean folks like George Soros? Those derivative speculators?

Strange how people like Rahm Emanuel and Obama's Treasury Sec. Mr. Geitner know alot of those thieves intimately.

But it's nice to see that although Obama and friends are rich as fuck you still can play the class-warfare card so easily.

 

[rdean]

As usual the Republicans are protecting the thieves on Wall Street.

And it was Phil Gramm who wrote the legislation that caused the collapse, which was caused by a derivative bubble, not the housing industry.

You mean folks like George Soros? Those derivative speculators?

Strange how people like Rahm Emanuel and Obama's Treasury Sec. Mr. Geitner know alot of those thieves intimately.

But it's nice to see that although Obama and friends are rich as fuck you still can play the class-warfare card so easily.

Obama "rich as fuck"? From two books?

He has less than half of what Palin has. Of course, she wrote a book too. It's called, "Going Rogue by Lynn Vincent".

 

[CrusaderFrank]

Having Dodd sponsor the Financial Reform Bill is like LBJ signing the Civil Rights Act, you have to appreciate the irony

 

[Mr. Peepers]

I notice also that rdean conveniently overlooks one small, significant, issue.... Had Freddie and Fanny not lent money to people who could not afford to pay it back, then Wall St wouldn't have had a vast amount of toxic mortgages to bundle.

And who was it that started that crap? The lending of money to people who could not afford to borrow it? Well, gee.... wasn't ACORN and the SEIU behind that ridiculous plan? What a surprise.

WRONG. Freddie and Fannie were late in the game in relaxing mortgage requirements during the sub-prime free-for-all. Sadly, they did eventually get caught up in the ponzi scheme. 83+ percent of sub-prime mortgages were issued by PRIVATE lenders. Not Freddie and Fannie. The reason the requirements were relaxed is that Wall Street was CLAMORING for more loans to bundle.

"Between 2004 and 2006, when subprime lending was exploding, Fannie and Freddie went from holding a high of 48 percent of the subprime loans that were sold into the secondary market to holding about 24 percent, according to data from Inside Mortgage Finance, a specialty publication. One reason is that Fannie and Freddie were subject to tougher standards than many of the unregulated players in the private sector who weakened lending standards, most of whom have gone bankrupt or are now in deep trouble.

During those same explosive three years, private investment banks — not Fannie and Freddie — dominated the mortgage loans that were packaged and sold into the secondary mortgage market. In 2005 and 2006, the private sector securitized almost two thirds of all U.S. mortgages, supplanting Fannie and Freddie, according to a number of specialty publications that track this data."

Private sector loans, not Fannie or Freddie, triggered crisis | McClatchy

 

[Dont Taz Me Bro]

Now, what I am NOT saying is that Democrats are blameless in this situation.

But rdean implied they were. That was my point. I'm well aware of who and how GLBA was passed.

 

[CrusaderFrank]

Having Dodd sponsor this bill is like making Hitler Ambassador to Israel

 

[Vast LWC]

Also. If the those in charge of oversite had been doing their jobs this mess probably wouldn't have happened.

Both parties share the blame.

There aren't any innocents in the whole mess.

Indeed, there is plenty of blame to go around. On both sides of the fence.

But the problem will certainly not be solved by preventing bank regulation from going through.

That is what the CURRENT crop of Republicans are apparently set on doing, and, as the OP stated, this is indeed the "Wrong side of the fence" to be on with this issue.

 

[Vast LWC]

As usual the Republicans are protecting the thieves on Wall Street.

And it was Phil Gramm who wrote the legislation that caused the collapse, which was caused by a derivative bubble, not the housing industry.

You mean folks like George Soros? Those derivative speculators?

Strange how people like Rahm Emanuel and Obama's Treasury Sec. Mr. Geitner know alot of those thieves intimately.

But it's nice to see that although Obama and friends are rich as fuck you still can play the class-warfare card so easily.

Soros is a speculator in currency. He is actually a major opponent of Credit Default Swaps.

From Reuters:

UPDATE 1-Ban CDS as instruments of destruction - Soros | Reuters

Credit default swaps are "instruments of destruction" that should be outlawed, billionaire investor George Soros said on Friday.

Soros said the asymmetry of risk and reward embedded in CDS exerted so much downward pressure on the bonds underlying the contracts that companies and financial institutions could be brought to their knees.

 

[EriktheRed]

 

[Vast LWC]

Nice.

 

[nraforlife]

GWB & the other repugs had the Presidency, House & Senate for years but did NOTHING to nip this problem early on.

 

[Toro]

Republicans making a big mistake with their failure to support the general outline of the "Dodd" Financial Regulation bill. The American people want no more AIG's, Bear Stearns, Lehman Brothers,etc.. Ordinary Americans want the Federal Government to step in early with these types of companies and stop their growth, break them up or do whatever is needed to see these businesses don't hurt the economy and cost jobs. The Republicans have not given any persuasive reason to mainstream America to oppose this bill. Their rationale that this bill will encourage financial businesses to be recklass in pursuit of profits because they know the Federal Government will rescue them if they get into trouble is bogus and ordinary Americans can see this because if the Federal government steps into a financial business's life that almost certainly means that financial business's stock price will take a giant hit and no executive of a financial business wants that.



The Republican's stance on this bill makes them look like they are looking out for big financial institutions and their owners interest not the American peoples interests. Republicans have huge momentum going into these mid-term elections, their stance makes ordinary Americans wonder if I support the Republicans am I supporting Bush like Republicans that got us into this recession mess in the first place, Republicans better change their tune quickly on this issue or it will costs a significant number of votes in November. This last two and a half years with this recession has been a nightmare for the American people, the American people want meaningful financial regulation reform they want to see these financial industry problems don't happen again.

Some of these Republican positions on this bill are clearly indefensible. The vast majority of swap (insurance) contracts should be done through exchanges or clearinghouses so if the issuer of a swap defaults, the clearinghouse can pay the debt so there is no ripple financial effect. Many businesses use these swap contracts for extremely important business reason that is to hedge against possible negative events occurring to their business operation - they shouldn't be overpaying for this insurance protection - listing these swap contracts on exchanges will make their prices transparent helping ordinary businesses to get a fair deal. In addition, listing these contracts on exchanges will allow regulators and experts to analyze this market and to sound the alarm if an issuer of these swap contracts is taking on too much risk - so the country can avoid AIG scenarios!

It is a bad tactical mistake by the Republicans to oppose this financial bill. Americans are rightly pissed off at Wall Street. Opposing this regulation makes the GOP look like they are siding with the people who mightily contributed to the financial crisis.

 

[Old Rocks]

The housing collapse happened when mortgages were moved from Freddie/Fannie to Wall Street, where they were literally given away, bundled and then sold as "securities". You guys can't pretend to be ignorant anymore. This is now known to be the facts. It all started with Republican deregulation early in Bush's first term.

The Gramm-Leach-Bliley Act which deregulated the industry was passed in 1999 and signed into law by President Clinton, but you already knew that of course. You're just a lying piece of shit with no credibility, but we all know that as well, of course.

I notice also that rdean conveniently overlooks one small, significant, issue.... Had Freddie and Fanny not lent money to people who could not afford to pay it back, then Wall St wouldn't have had a vast amount of toxic mortgages to bundle.

And who was it that started that crap? The lending of money to people who could not afford to borrow it? Well, gee.... wasn't ACORN and the SEIU behind that ridiculous plan? What a surprise.

I did not know that Bush was a high member of Acorn or the SEIU.

ZERO-DOWN MORTGAGE INITIATIVE BY BUSH IS HIT BUDGET OFFICE SAYS PLAN LIKELY TO SPUR MORE LOAN DEFAULTS - The Boston Globe (Boston, MA) | Encyclopedia.com

ZERO-DOWN MORTGAGE INITIATIVE BY BUSH IS HIT BUDGET OFFICE SAYS PLAN LIKELY TO SPUR MORE LOAN DEFAULTS

The Boston Globe (Boston, MA) | October 5, 2004 | Chris Reidy Globe Staff | .

President Bush's weekend campaign promise that he will push legislation allowing for no money down on some federally insured mortgages could cost taxpayers as much as $500 million over four years because of a higher rate of defaults, according to the Congressional Budget Office.

The election-year idea may appeal to those who can't save as fast as home prices are rising. But some financial planners warn that increasingly common no- and low-down-payment programs can be ruinous for some consumers especially if home values decline.

If housing prices fall, consumers with little or

 

[Avatar4321]

As usual the Republicans are protecting the thieves on Wall Street.

And it was Phil Gramm who wrote the legislation that caused the collapse, which was caused by a derivative bubble, not the housing industry.

Heaven forbid we protect the 401Ks of Americans by prevenint DC to limit how they make money.

Obviously, you think people are too stupid to govern themselves. Maybe you are, but Im pretty sure people can guage the risk they are taking. And we shouldnt be bailing them out if they are irresponsible.

 

[American Horse]

The party of no believes our finiancial problems were caused by not going far enough with deregulation.
Not that we went too far.

Amazing.

The bill creates a moral hazard by making an implied guarantee by the government. It will produce more Fan/Fred situations. It would be vastly more efficacious to divide some or all of these giants up into companies "small enough to fail." That is the primary reason Rs don't like it. I expect that to be the Republican recommendation IF they don't get rolled.

 

[Avatar4321]

GWB & the other repugs had the Presidency, House & Senate for years but did NOTHING to nip this problem early on.

You're right. They didn't nip this in the bud early on. But they also didn't cause the problem in the first place.

Now how does more regulation benefit average Americans?

How do i benefit if the Federal Government takes punative regulatory action against Wall Street?

Laws/regulations will not and can not fix problems caused by dishonest and unethical practices. Laws/regulation will not and can fix problems caused by people who ignore laws.

Punishing the rich doesn't benefit me. Natural law will punish the wealthy more than government ever could. How "punishing" the wealthy and regulating them help the homeless guy on the street? How does it benefit you? Tell me.

It's amazing that no matter how many regulations are passed, No matter how many laws Congress creates, there are still dishonest people who run businesses. There is still financial downturn. People will still take risks and suffer for it.

These "regulations" do absolutely nothing but burden the system and make a pathetic attempt to "fix" the symptom of the problem rather than the problem itself.