It's interesting when President Bush comes on radio or TV with a sad tone, speaking about the dire economy.
What Bush doesn't tell you -- is his role in aiding the predatory lenders.
In 1994, President Clinton had the good intention of raising home ownership. He sponsored regulations to increase mortgage lending to low- and moderate-income families. The banks complied and increased their lending to these families...
States tried to Halt the Looming Crisis
People began to notice the troubling predatory lending and its potential for disaster. State Governors attempted to introduce legislation to curb the offenders, but look at what happened....
The following warning was sounded by Eliott Spitzer in Feb 2008:
"Several years ago, state attorneys general and others involved in consumer protection began to notice a marked increase in a range of predatory lending practices by mortgage lenders...
For 140 years, the Office of the Comptroller of the Currency or OCC examined the books of national banks to make sure they were balanced, an important but uncontroversial function. But a few years ago,
for the first time in its history, the OCC was used as a tool against consumers."
In 2003, during the height of the predatory lending crisis, the OCC invoked a clause from the 1863 National Bank Act to 'preempt' all state predatory lending laws, thereby rendering them inoperative.
"the OCC also promulgated new rules that prevented states from enforcing any of their own consumer protection laws against national banks." This was so outrageous that all 50 state attorney generals fought the ruling.
"But the unanimous opposition of the 50 states
did not deter, or even slow, the Bush administration in its goal of protecting the banks.
In fact, when my office opened an investigation of possible discrimination in mortgage lending by a number of banks,
the OCC filed a federal lawsuit to stop the investigation.
When history tells the story of the sub-prime lending crisis and recounts its devastating effects on the lives of so many innocent homeowners, the Bush administration will not be judged favorably. The tale is still unfolding, but when the dust settles, it will be judged as a willing accomplice to the lenders who went to any lengths in their quest for profits. " (2/14/2008 Washington Post)
lnteresting...don't believe Bush's sad, long face. Hypocrites.