Posted on 10/11/2008 10:09:12 PM PDT by RushingWater
Great post. Thanks for connecting more of the dots for us.
Furthermore, what matters is policy going forward. McCain wants to privatize Fannie and Freddie and put more regulations on them. Obama just wants more regulations, he doesn't want to privatize them. Even if Fannie and Freddie did not do "much" damage, does that justify their status as government sponsored entities? No. McCain's plan would get this massive liability (500 Billion in alt-a mortgages were held by Fannie and Freddie as of January 2008!!) off of tax payers and make the market more secure.
I understand that lenders were required by law, particularly the Community Reinvestment Act, to make these loans, whether they’re private lenders or not.
I am putting on my tinfoil hat even as we speak, but the timing of Greenberg’s ouster seems highly suspicious. It just so happened that Cassano came in and started selling CDS instruments in the billions of dollars a short time after Greenberg, the main opponent of these risky deals, was forced out. Hmmmmmm......
You’re welcome.
Some really smart guy needs to make a web 2.0 website called timelines.com (or similar name) where you can use a provided timeline template and insert events to tell your story. Someone who’s good with Java or Ruby on Rails or something.
Heck I could mirror it on an html site. No need though. It’s there for anyone to add to. =]
Private sector loans, not Fannie or Freddie, triggered crisis
McCLATCHY Newspapers ^ | October 11, 2008 | By David Goldstein and Kevin G. Hall
Writers at McCLATCHY are the ones to tell us about finance?
Working at a company that is just now getting to 20% of their
52 week high?
http://finance.yahoo.com/q?s=MNI
It would be really cool for this kind of thing.
Here's another chart I found:
Loss histories for subprime mortgages in their first year after issuance formed a predictable pattern between 2000 and 2005, but the loss history for subprime loans issued in 2006 broke the mold during the first eight months of 2007.
http://www.calvert.com/news_subprime_anatomy.html
They weren’t sold to Fannie Mae or Freddie Mac for the most part-—they were sold to mainly to banks. The problem is that fannie Mae and Freddie Mac gave guarantees when they floated bundles on the market that no one understood or bothered to check or even worse, didn’t care about.
not really. The original CRA said that banks could not deny people based solely on race and where they lived (and this meant that even middle class families with good credit could not get loans or mortgages solely because of the neighborhood they were in). Redlining did happen in the pre-CRA days, and it is one of the reason America’s cities turned into cesspools between the 1950s and 1970s.
Look at New York City. In the 1940s and 1950s the Bronx was largely a stable middle class area. By the mid 1970s property owners were literally burning their own buildings left and right because the redlining had devalued their property so much they could make more by insurance fraud.
Exactly.
Wouldn’t hur to add it to the Timeline:
http://www.freerepublic.com/focus/f-bloggers/2093845/posts
Along with suggestions, FRiend. I gotta run for now.
— FRegards ....
Will do.
Cross reference to more lies
ACORN ISSUES A STATEMENT !
http://www.freerepublic.com/focus/news/2104075/posts?page=1
foxnews gretawire ^ | 10/12/08 | Greta Van Susteren
Posted on Sunday, October 12, 2008 6:52:29 PM by mathprof
ACORN President Maude Hurd released the following statement today in response to the McCain campaign’s new ad claiming that, among other things, ACORN is responsible for the mortgage crisis:
“For almost a decade, ACORN, a community organization of 400,000 families in neighborhoods across the country, has been fighting against the predatory lending practices that have robbed our members of their homes, destabilized neighborhoods, and roiled the global economy.”
“In his newest ad, John McCain’s campaign bizarrely claims, “ACORN forced banks to issue risky home loans, the same types of loans that caused the financial crisis we’re in today.” Nothing could be further from the truth. In fact, ACORN has worked successfully to help working class families get good home loans on fair terms from legitimate banks and has fought vigorously against predatory lenders who have ripped off families in our communities. These predatory loans caused the crisis.”
Continued http://www.freerepublic.com/focus/news/2104075/posts?page=1
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no doubt humans, both bankers and franklin delano raines, are greedy.
i believe this story inaccurate,
but
private banks were induced by the clinton administration to make sub-primes.
and, fanny and freddy bought up the paper.
Locally, Deutsche Bank is the ring leader of crappy deals.... why is that outfit still in business?
Locally, Deutsche Bank is the ring leader of crappy deals.... why is that outfit still in business?
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