Let me help you out on your side of the kettle Ray

In 1977, the Community Reinvestment Act, sponsored by the Democrats, and signed into law by Jimmy Carter, and amended a few times since, was enacted to reduce discriminatory credit practices against low-income neighborhoods and encourage lending in communities where the financial institutions were chartered. But it also specifically stated lending activities had to be consistent with safe and sound business practices.


Earlier, in 1938 Fannie Mae was established to allow mortgages to be securitized (pooled and sold as a package to investors), and in 1970 Freddie Mac was established to expand that market....yes enacted by Richard Milhouse Nixon


In 1982, mortgage regulations were changed to allow new mortgage loan types such as adjustable-rate mortgages (this allowed low low rates which then escalated later in the term), balloon-payments and interest-only mortgages that allowed flexible and low cost payments...........yes thank you Ronald Reagan

In 1992, the Housing and Community Development Act established an affordable housing loan mandate for both Freddie and Fannie..........yes the accolades here belong to George Bush. BTW in his notes to signing the legislation he did urge prudence on the part of all players.

And last but not least, in 1999 Bill Clinton, (finally another Democrat), repealed part of the Glass Steagall Act to allow banks to play harder with their clients money by allowing them to also operate investment banks.

Back to Frank and Dodd

Christopher Dodd, D, CT, had absolutely nothing to do with any financial legislation sponsorship before 2008, when he began working on issues related to his eventual sponsorship of the Dodd Frank Act.

Barney Frank, D. ME, was chair of the House Financial Services Committee (2007–2011) and a sponsor of the act named after him

You can see here what it does

http://www.cftc.gov/lawregulation/doddfrankact/index.htm


The above shows key government failures in setting the stage for vastly expanded house ownership and the ability to qualify for a mortgage...

...well intentioned BUT

... it was the private sector that of course took the liberties they could with it. It is after all, a free enterprise system and it is a time honoured US tradition to take full advantage of legislation.

These mortgage liberties were taken by everyone along the chain...from those who signed on the dotted line, to mortgage agents and brokers, lenders, syndicators, investment banks, and coupled with poor oversight by the SEC and other regulators, ...well everyone is happily travelling hell in a hand basket, except some, like the too big to fail bankers, are going first class.


...quick aside....have you looked at the way US veterans are basically defrauded out of their education funds by unscrupulous operators (oh wait, it is the veteran's fault, they did sign on the dotted line)....

If writing ever becomes work I think I'm going to have to stop