Bush Was Warned About Mortage Meltdown in 2005

http://news.yahoo.com/s/ap/20081201/ap_on_bi_ge/meltdown_ignored_warnings;_yl...

They warned us, but US eased loan rules

By Matt Apuzzo / Associated Press

WASHINGTON The Bush administration backed off proposed crackdowns on no-money-down, interest-only mortgages years before the economy collapsed, buckling to pressure from some of the same banks that have now failed. It ignored remarkably prescient warnings that foretold the financial meltdown, according to an Associated Press review of regulatory documents.

"Expect fallout, expect foreclosures, expect horror stories," California mortgage lender Paris Welch wrote to U.S. regulators in January 2006, about one year before the housing implosion cost her a job.

Bowing to aggressive lobbying — along with assurances from banks that the troubled mortgages were OK — regulators delayed action for nearly one year. By the time new rules were released late in 2006, the toughest of the proposed provisions were gone and the meltdown was under way.

More pissed off every day at
http://www.michaelmoore.com

Category:

News & Politics

Tags:

• Mortgage
• Foreclosure
• Meltdown
• Financial
• Crisis
• Bush
• Knew

[Richardgwm]

Deregulation does not work. Reagan was wrong. Every deregulated industry has quickly gone bankrupt and needed a government bailout.

Capitalism needs a strong regulatory structure in which to function.

Savings and Loans

Airlines

Banks

[Peacenik]

Naomi Klein's theory of disaster capitalism says how the gov't just lets shit happen so they can cash in when the shit hits the fan

[wdb54imagine]

@HoneySiegalSurvior Ned Bush and Family were all over the 1980s S&L scandal, google Silverado. Basically you didn't even respond to my post about deregualtion.

When you post that International War crimes were committed under George W. Bush along with our Constitutional rights instead of linking President Obama to Kenya I will listen. Otherwise I will put you in the class with the rest of the clueless bigots.

[HoneySiegalSurvivor]

@wdb54imagine THE KICKER IS MEGABANK ACTUALLY DONE BY JANET NAPOLITANO NOW DHS USING THE FRAUDULENT ESTATE OF ME DEAD IN ARIZONA WITH GOLD CREEK INC.

RESIGN OBAMA. HRS

[wdb54imagine]

George W. sounded himself with the smell of Ronald Reagan and deregulation of the financial sector which amounts to playing football in the NFL with no rules and no umpires. It becomes a free for all, not a super competition of world class athletes that we call spectator sports. Why wound appraisers up the value, brokers list and sell houses and banks lend money that wasn't going to be paid back? When you know the answers, set aside the political spin & put out the fire started by mega -greed.

[jackiechan511]

How can stupidity and greediness of a few US banks can bring the whole world and the world economy down to its kneeds. I guess this is why Globalization activists are out in full force

[uzijohn]

Dont blame Bush!

Everything "elcid4usc" said 9 months ago is 100% true

They're are several video's on Youtube showing FIRST HAND Democrats being warned, scoffing at Republicans,

expert witnesses and the regulators,

then obstructing the NECESSARY CHANGES

Search and watch these videos

Timeline shows Bush, McCain warning Dems of financial and housing crisis; meltdown

Nancy Pelosi, Barney Frank, and Democrats are Clueless on Freddie Mac Fannie Mae and the financial credit crisis

[Bringinbackoldschool]

That's not bushes fault that the loan company's the schools and teachers are such you idiots...

Its just our Generation...

[europrowlr]

That's ME in the 2nd paragraph of the article (see left column). Matt did a great job with my interview.

[pFhUCKpFhACE]

Avrrojas84, you may be on to something there.

Religion may play a part in the restructuring of America.

Unfortunately for the established white christian male power structure that the far-right so desperately clings to, the religion that will take the helm will be Islam.

[bamboorepublic]

It's all about GREED. Yes, we the people vote for president but it is the rich corporations that dictate to the corrupt politicians how to govern. Maybe a little bit of socialism would not be so bad.

I mean AIG was going down the toilet and they were still giving out Multi-million dollar bonuses. Give me a F...King break.

[procommenter]

People use guns to kill indiscriminately. I vow only to use my guns to kill discriminately. It's those people who use guns to kill indiscriminately who we, those of us who vow only to use our guns to kill discriminately, need protection from.