Clinton
RE: Clinton
Yes. The Community Reinvestment Act (CRA) was the main culprit.
See here:
https://www.businessinsider.com/the-cra-debate-a-users-guide-2009-6
However, Clinton is simply one of the many people to blame. We have to go ALL THE WAY BACK to Jimmy Carter in 1977.
The CRA was not a static piece of legislation. It evolved over the years from a relatively hands-off law focused on process into one that focused on outcomes. Regulators, beginning in the mid-nineties, began to hold banks accountable in serious ways.
Banks responded to this new accountability by increasing the CRA loans they made, a move that entailed relaxing their lending standards.
I see little difference between what Maxine Water’s “Diversity Committee” is doing with what the CRA morphed into.