Justice dept sues a California bank for prudent lending.

[expatCA]

Originally Posted by Capt. Dan

What choice do we have? Anarchy?

That is the problem. Vote for poor "leaders" or?

The system gives no choices.

Plus so many do not see them as poor leaders, as they promise what they want to hear.

[1AngryTaxPayer]

I prefer

[Think4Yourself]

Originally Posted by SportyandMisty

Amazing. Truly amazing.

Review & Outlook: A Fine for Doing Good - WSJ.com

"Banks have been widely castigated for causing the housing bust by lending too much to borrowers who couldn't repay, but now Eric Holder's Department of Justice has taken its antidiscrimination campaign to new lengths by whacking a bank for having been too prudent..."

They were red lining which means they were refusing to allow loans in black areas which is a crime and has been against the law since the 1970's. That you claim disciminating against blacks is just prudent makes me wonder what type of person you are.

[oldtrader]

Were they red-lining, or were the blacks being turned down because they did not meet the qualifications for getting a loan? I spend 30 years as a commercial real estate broker, and every loan for real estate demanded that a borrower meets certain requirements to prove they would be able to repay the loan, regardless of the color, nationality, or other ethnic traits of the borrower.

[nullgeo]

Originally Posted by oldtrader

Were they red-lining, or were the blacks being turned down because they did not meet the qualifications for getting a loan? I spend 30 years as a commercial real estate broker, and every loan for real estate demanded that a borrower meets certain requirements to prove they would be able to repay the loan, regardless of the color, nationality, or other ethnic traits of the borrower.

One thing is pretty certain: the uniformed opinions of a random gaggle of posters on an open forum are certainly more apt to be correct than any findings of a justice department investigation ... hence we should start warming the tar and breaking out the bales of feathers for application to all civil servants having the audacity to feign concern for state and federal civil-rights laws -- the disingenuousness of which laws random posters understand so well ...

[oldtrader]

We are in an election cycle at this time, and the people in power are telling voters they are behind them. They are telling black voters by going after the bank very publicly, vote Democratic.

[nullgeo]

Originally Posted by oldtrader

We are in an election cycle at this time, and the people in power are telling voters they are behind them. They are telling black voters by going after the bank very publicly, vote Democratic.

Are they? Do you think the justice department investigation just started and wrapped up in the past couple months? How much you want to bet it's been underway for years?

Also interesting is that you associate enforcing civil rights discrimination laws only with Democrats. Republicans don't believe in civil rights, is that it?

[Harrier]

Originally Posted by Think4Yourself

They were red lining which means they were refusing to allow loans in black areas which is a crime and has been against the law since the 1970's. That you claim disciminating against blacks is just prudent makes me wonder what type of person you are.

No - they were not discriminating based on race - they were setting minimum standards for loan qualifications - which is just common sense practice. The housing market collapse that triggered the current recession was caused by the federal government penalizing banks for not lending to people who were high risk borrowers.

Martin Luther King Jr. dreamed of a day when people would be "judged not by the color of their skin, but by the content of their character". This Luther Burbank people were making lending decisions with a colorblind outlook - fully considering only the ability of the borrowers ability to repay. The (in)Justice department is forcing them to make decisions based on race.

We are going backwards.

[nullgeo]

Originally Posted by Harrier

No - they were not discriminating based on race - they were setting minimum standards for loan qualifications - which is just common sense practice. The housing market collapse that triggered the current recession was caused by the federal government penalizing banks for not lending to people who were high risk borrowers.
...

Hogwash. The housing market collapse was caused by greedy, sociopathic, financial charlatans -- who manipulated politicians and public alike ... the whole fraud was unsustainable from the get-go ... just as is everything about our culture of consumer capitalism that every one of us participates in under the psychological illusions we have been conditioned to accept as requirements for life, liberty, and the pursuit of happiness.

[ZhugeLiang]

Originally Posted by nullgeo

Hogwash. The housing market collapse was caused by greedy, sociopathic, financial charlatans -- who manipulated politicians and public alike ... the whole fraud was unsustainable from the get-go ... just as is everything about our culture of consumer capitalism that every one of us participates in under the psychological illusions we have been conditioned to accept as requirements for life, liberty, and the pursuit of happiness.

There was manipulation going on, in the form of politicians' buddies making off with millions while America lost billions. This is the kind of bipartisanship that I can do without.

https://en.wikipedia.org/wiki/Commun...investment_Act

Here's How The Community Reinvestment Act Led To The Housing Bubble's Lax Lending - Business Insider

https://www.youtube.com/watch?v=iW5qKYfqALE