Originally Posted by sperbonzo

Under the CRA banks were pushed into making loans to people who( could not afford them, and the wording of government policy under the CRA was exactly the same is this announcement. (Notice the name of the last group quoted in the article). Consequences of pushing banks into risky loans is known to us all, and it also showed banks that "real property" cannot be counted on as equity. It should be up to the lender how much risk they want to take, not the government. There are always unintended consequences when you mess with the free market, as the whole world saw in 2008. I'm boggled by this craziness....





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