| akuma587 said: But its fair to blame people for the Community Reinvestment Act? |
Wait what?
No. The Community Reinvestment Act was a good thing.
The strengthing of it led to some problems however... because it led to people lending to people with bad credit.
The Community Reinvestment Act made it so that poor people with good or nuetral credit could get loans.
The problem was... the strengthning of it in the 90's combined with the republicans deregulation led to people giving bad loans to poor people with bad credit... and doing it with bad loans.
Had either of the other not happened we might not be in this mess.... well yet anyway. Since this was bound to happen no matter what. You can't force your way out of every time recession and expect everything to turn out well.
That and CRA loans come with credits. So if you bought securities backed by CRA loans you got CRA credits.
Subsidizing of poorer housing should be done through the government through tax breaks or just outright paying for poor peoples homes.









