McCain blamed the Community Reinvestment Act for the mortgage/economic crisis back in APRIL

[redstate_democrat]

http://www.huffingtonpost.com/2008/10/01/conservatives-seek-to-shi_n_131020.html

In an April interview with Larry Kudlow, the two had the following exchange:

KUDLOW: Would you consider, by the way, rolling back the Community Reinvestment Act, which a lot of people say triggered this, mandating banks and other lenders to make substandard loans in the first place, and the creator of the subprime mortgages back in the middle '90s? Is it time to take a look at the Community Reinvestment Act?


McCAIN: Absolutely, Larry. There were people who predicted that the Community Reinvestment Act might lead to reckless and unsound lending practices just to sort of fill a--you know, a amount of--I don't like to use the word "quota," but certain percentages of a--of a home--of the bank's lending practices. Yes, it has to be re-examined, it has to be judged by its effect, and we need to find out how this particular system affected the overall insolvency of the subprime lending issue. And I think it--I'm not saying it needs to be repealed, but it certainly needs to be re-examined and what its effects have been. And we'll be able to figure that out.

He is the scum of the earth. What a joke. And this is a man who couldn't even figure out how many homes he has when asked by a reporter. This is also a man who failed to pay property taxes on his California beach pad. Yet, he wants to blame a 30 year old law for the supposed economic Armageddon we're experiencing today.

CRA doesn't even apply to subprime loans because CRA only applies to regular banks and thrifts. These subprime mortgages were doled out by brokers and other folks. Then these "mortgages" were flipped into securities and the rest is fucking history. How dare McCain say CRA needs to be revisted. Does he even understand American history? Does he know that minorities, especially blacks, were unable to get loans because a lot of the neighborhoods they were allowed to live in, due to restrictive covenants and the like, were totally redlined out of consideration for mortgages from banks, even banks who operated in those same communities and took deposits from the same people they wouldn't loan to. These banks would take these people's deposits and use it to loan to others outside of the community. That was a slap in the face. The lack of credit made it almost impossible for these people to build wealth. Most people build wealth through owning a home or starting a small business. McCain wouldn't know anything about that because he has had it pretty good with the beer heiress.

[firedupdem]

1. He's an idiot and most of his base has no clue either. It's always

easy to blame blacks for problems. Feeds into their bigoted racist ways.

[FreakinDJ]

2. What a Bigoted Peice of Crap

How would a "Rating System" without any "Legal Teeth" force anyone to make bad loans