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Justice Dept. Fights Bias in Lending
New York Times ^
| January 13, 2010
| Charlie Savage
Posted on 01/14/2010 5:47:48 AM PST by reaganaut1
The Justice Department is beginning a major campaign against banks and mortgage brokers suspected of discriminating against minority applicants in lending, opening a new front in the Obama administrations response to the foreclosure crisis.
Tom Perez, the assistant attorney general for the departments Civil Rights Division, is expected to announce Thursday in New York that the administration is creating a new unit that will focus exclusively on unfair lending practices.
We are looking at any and every practice in the industry, Mr. Perez said in a recent interview.
As part of an expansion of the Civil Rights Division approved by Congress last year, the Justice Department is hiring at least four lawyers and an economist for the new unit, while about half a dozen current staff members will transfer into it.
Mr. Perez plans to formally announce the new unit at the Wall Street Project conference organized by the Rev. Jesse Jacksons Rainbow/PUSH Coalition. He characterized the effort as a major turnaround, and criticized the previous administration as failing to scrutinize lending practices amid the subprime mortgage boom.
While past lending discrimination cases primarily focused on redlining a banks refusal to lend to qualified borrowers in minority areas the new push will instead center on a more recent phenomenon critics have called reverse redlining.
(Excerpt) Read more at nytimes.com ...
TOPICS: Business/Economy; Government
KEYWORDS: banks; doj; economics; fanniemae; freddiemac; jessiejackson; mortgagecrisis; mortgages; rainbow; rainbowpush; redlining; reparations; shakedown; subprime; tomperez; wallstreetproject
Pressuring banks to give mortgages to unqualified borrowers to raise minority homeownership is part of what got us in this mess. Now Obama wants a repeat. Since non-Asian minorities save less and earn less on average, fewer of them will qualify for prime mortgages.
Being brown (Asian-Indian) hasn't stopped our family from getting mortgages, because we've had money for down payments and income that well covers the mortgage payment.
Isn’t this what got us into this financial mess in the first place? Forcing banks to loan money to people that can not pay it back.
Isnt this what got us into this financial mess in the first place?
Economic justice--those who wind up not paying get supported by the rest of us.
REPARATIONS, now the real goal is shown!
posted on 01/14/2010 5:57:43 AM PST
(El Vaquero. (SC Lowcountry Cowboy))
Don't do it right, the gubmint will help!
Don't do it right after the gubmint helps, the gubmint will help again!
posted on 01/14/2010 5:59:50 AM PST
Stopping to realize we have a migraine, after years of banging our heads against the wall, we decide to continue banging our heads against the wall.
This is the mentality that leads one to think its on purpose to crash the dollar, and re-make it in their image.
posted on 01/14/2010 6:04:52 AM PST
(A government big enough to give you everything you want, is big enough to take everything you have)
Only lending money to people who are probably going to pay it back discriminates against people who probably aren't.
posted on 01/14/2010 6:05:17 AM PST
by E. Pluribus Unum
(Islam is a religion of peace, and Muslims reserve the right to kill anyone who says otherwise.)
The solution seems so simple even a cave man could do it.
We have instituted a "credit scoring system" in this country, so there needs to be hard and fast rule that if your credit score is less than a certain level, you don't get the loan...period
Color, creed, and natural origin are not considered at all in the process. Everyone has the opportunity to challenge any credit entries they feel are unjust, so you either get it fixed, or live with it.
There has to be some absolutes somewhere in the process or it will never work.
posted on 01/14/2010 6:13:20 AM PST
(There will be no jobs until it is profitable for employers to hire people....PERIOD.)
Banks lend to someone almost exclusively based on their credit report, if the government wants to go after someone it should be the credit reporting agencies.
Blaming the bank for not lending to someone with a 400 credit rating and a recent bankruptcy is ridiculous.
posted on 01/14/2010 6:13:48 AM PST
(Obama lied, the economy died)
posted on 01/14/2010 6:23:12 AM PST
(Ten per cent of poll respondents are either lying or insane)
You said it CIB-173RDABN
only much nicer than I would have.
Not this same shit again.
posted on 01/14/2010 7:00:47 AM PST
by Joe Boucher
(This marxist punk has got to go. (FUBO))
To: reaganaut1; Jet Jaguar; NorwegianViking; ExTexasRedhead; HollyB; FromLori; ...
posted on 01/16/2010 6:32:51 PM PST
(The complete Obama list at www.nachumlist.com)
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