How can a Democrat read this article and not admit that this housing problem is Clinton’s fault?

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The article appeared in the New York Times on 9/30/99 during the CLINTON administration. Here’s the link the the Times Website w. the article….http://query.nytimes.com/gst/fullpage.html?res=9C0DE7DB153EF933A0575AC0A96F958260&sec=&spon=&pagewanted=all

“Fannie Mae Eases Credit To Aid Mortgage Lending”, By STEVEN A. HOLMES Published: September 30, 1999

In a move that could help increase home ownership rates among minorities and low-income consumers, the Fannie Mae Corporation is easing the credit requirements on loans that it will purchase from banks and other lenders.
The action, which will begin as a pilot program involving 24 banks in 15 markets — including the New York metropolitan region — will encourage those banks to extend home mortgages to individuals whose credit is generally not good enough to qualify for conventional loans. Fannie Mae officials say they hope to make it a nationwide program by next spring.
Fannie Mae, the nation’s biggest underwriter of home mortgages, has been under increasing pressure from the Clinton Administration to expand mortgage loans among low and moderate income people and felt pressure from stock holders to maintain its phenomenal growth in profits.
In addition, banks, thrift institutions and mortgage companies have been pressing Fannie Mae to help them make more loans to so-called subprime borrowers. These borrowers whose incomes, credit ratings and savings are not good enough to qualify for conventional loans, can only get loans from finance companies that charge much higher interest rates — anywhere from three to four percentage points higher than conventional loans.

24 Comments
  1. Reply
    daddio
    April 30, 2011 at 1:15 am

    it’s called DENIAL. and it’s the first step.

  2. Reply
    Abu#2
    April 30, 2011 at 1:36 am

    Because Democrats think everything is Bush’s fault.

  3. Reply
    Madd Texan
    April 30, 2011 at 2:16 am

    Good article, but, it boes back farther than Clinton. It goes back to Carter.

  4. Reply
    #468
    April 30, 2011 at 2:59 am

    Because the PROBLEM did not come from allowing more Americans the opportunity to own homes.

    And you guys can post and post and post all day long every day until infinity about Fannie Mae allowing more Americans to own homes – and that STILL won’t be the problem.

    Subprime lending has been going on for over THREE DECADES and the predatory lending institutions have made billions and billions off of people of color, the uneducated, the naive, and those with “less than stellar” credit. WHICH, by the way, is approximately 85% of the population…..by charging OBSCENE rates of interest.

    Those subprime predatory lending institutions never had a “problem” before.

    Why now?

    Because during the bush regime, millions of Americans LOST THEIR JOBS. You can’t pay your mortgage if you DON’T HAVE A JOB.

    And so….NOW there is a problem. Because the Republican sacred cow called “DEREGULATION” has allowed the banking and the mortgage industries to blur the lines between the two entities.

    The filthy rich, unethical, slimy financial “geniuses” at the top of the market echelon came up with this brilliant way to make lots and lots of easy money.

    They bought and sold and traded and bundled those mortgage packages.

    So that when the homeowners were unable to pay those mortgages – now instead of the problem being between the homeowner and the MORTGAGE company — now dozens of financial institutions have their fingerprints all over them.

    THAT is the problem —GREEEED.
    ***************************

    To anyone out there who actually wants to UNDERSTAND what is happening – here is a funny presentation, a kind of “mortgage meltdown primer” — You will need Powerpoint to view it. Go to the library to watch it if you have to – it is EXACTLY what happened.

    Sorry, that link was dead. You should be able to find it through one of these links:

    http://www.google.com/search?sourceid=navclient&ie=UTF-8&rls=GGLD,GGLD:2004-17,GGLD:en&q=powerpoint+%2B+subprime+primer

  5. Reply
    Ethical Dem. Don't Laugh.
    April 30, 2011 at 3:28 am

    Dems ignore their failures and things they do that help destroy the US

  6. Reply
    32,000 BTU Gas Grill
    April 30, 2011 at 4:27 am

    Suppose that was the cause, Bush has been the president and hasn’t done a damn thing about it for 8 years nor his Republican congress for 6 of those years.

  7. Reply
    betmoneyonit2
    April 30, 2011 at 4:56 am

    They know it is. Hell they have Barney Frank on video stopping them from reforming it.

  8. Reply
    Darwin
    April 30, 2011 at 5:01 am

    Gee. When was Clinton president? Nearly 8 years ago, as I recall. Now a prudent person would think that perhaps the 7+ years of W. Bush with 6+ years of a Republican controlled Congress would have noticed there is a problem.

    But, no. It is easier to try to blame someone else.

  9. Reply
    Jaime S
    April 30, 2011 at 5:45 am

    The same way they deny that John McCain proposed a bill in 2005 that would have prevented this.
    (S. 190 [109th]: Federal Housing Enterprise Regulatory Reform Act of 2005)

    Besides, Barack received $ 126,349 from Fannie and Freddie.

  10. Reply
    Mercer Devil
    April 30, 2011 at 6:35 am

    How can it be Clinton’s fault when it was approved by a Republican Congress? How can it be Clinton’s fault when a Republican Congress and Republican President did nothing to fix it for 6 years after Clinton left office? This question is another example of poor, desperate attempts by Republicans to accept no accountability for their own mistakes.

  11. Reply
    Xeboprime
    April 30, 2011 at 7:05 am

    oh gee, golly gosh: If this was such a dangerous policy, why didn’t Bush and his 100% repub congress change it?

    The problem was not the policy: It was the greed of the perpetrators.

  12. Reply
    Brian
    April 30, 2011 at 7:37 am

    Blind loyalty..

  13. Reply
    Eric B
    April 30, 2011 at 7:53 am

    Lets talk denial where has your fearless leader been this last 8years maybe if we go back far enough we can find that jimmy carter defaulted on a housing loan and that is what started this thing. Wow why don’t you kool-aid drinkers listen to your new queen “Failing palin” and look forward. Obama will fix up bush’s mess

  14. Reply
    Griggnax
    April 30, 2011 at 8:22 am

    The majority of homes in foreclosure are worth over $ 250K, which is not the kind of housing you’ll find in minority and low-income neighborhoods. Nice spin though.
    And don’t forget who controlled Congress during the Clinton years (hint: NOT the Democrats). Republicans wrote the bill Clinton signed.
    There’s enough blame for BOTH parties.

  15. Reply
    t Preston
    April 30, 2011 at 8:31 am

    Obama has a pattern of Radicalism, he comes from a church that he went to before for 20years that preached hatred of white Americans. Yes we really need a president of America like that. He is not far from Castro or Chives. Good job Obama cult fans. You really have done your homework. The Sub prime mortgage came out of the Democratic party along with lots of help from Acorn to which Obama is a supporting member.
    Freddie and Fannie used huge lobbying budgets and political contributions to keep regulators off their backs. Fannie and Freddie have been creations of the congressional Democrats and the Clinton White House, designed to make mortgages available to more people and, as it turns out, some people who couldn’t afford them. The blame for the economy is the Democrats who do hold the majority in Congress.

  16. Reply
    King Midas
    April 30, 2011 at 9:17 am

    That’s easy, none of these things happened on Bill’s watch. If this had happened in the first four years of the Bush administration then you might have an argument. All of these things are happening after 8 years of bad policies by Bush. Next you are going to say the economy troubles are a result of Bill Clinton.

  17. Reply
    CATEYEZ 247
    April 30, 2011 at 10:02 am

    I see we have a lot of pro bush supporters on here how in the world can you blame Clinton for the last 8years what have Bush done in the last 8years other than get rich… We Clinton was president we had jobs,no one was in threat of losing there homes,people had health care that was affordable and gas prices wasn’t high at alot i remember when gas 1.20 and now we are paying 3 times that much so don’t blame someone who has not been in office for over 8 years for the problems that are going on now.. Admit that you voted for the wrong person and live with the decision you made.

  18. Reply
    RM
    April 30, 2011 at 10:26 am

    Because Clinton is the savior of the democratic party and can do no wrong (sounds a lot like Obama too).

    The problems Bush is having right now, most from the trickle-down effect of the Clinton administration policies, are blamed on Bush. If Obama gets elected, his lack of knowledge on EVERYTHING will be blamed on the after-effects of Bush policies… but when the economy turns in a few years because of the Bush policies finally kicking in, then he’ll take all the credit.

    It’s a terrible cycle of blame the democrats are throwing to the republicans. Now in no way shape or form are republicans perfect and they’ve done a lot of bad things. This current crisis is caused mostly by the average stupid American spending beyond their means… but it’s also partially caused by the democratic-controlled government finance committe, and democratic-controlled treasury, and the democratic-controlled Fannie & Freddie mortgage machines.

  19. Reply
    Sahara
    April 30, 2011 at 11:23 am

    It’s horrible when people try to get more people to own homes so they can build their wealth up and bring more stability to communities. It’s terrible. Never mind that greed and corruption played a huge part. That trickled down to every aspect of finance. The real problem is that jobs are not stable enough. The real problem is that we continue to lose almost entire industries. Our economy lacks diversity. We need many industries and many jobs. That is what we lack and that is what we need. Many people agree that there are many factors.

    Bill Clinton is not a true democrat. He is a blue dog democrat and is appeasing to Republicans. Alan Greenspan was busy chasing inflation that didn’t exist during Clinton’s era. Alan also did not believe in regulation and he thought it was good that everyone own homes. He didn’t like people changing jobs as often as they did. Why did people change jobs often? It wasn’t just because. Our economy is not stable enough to allow such widespread home ownership since people move around a lot more. Housing can be a liability there.

    Our whole system is problematic. It has not adapted to the times. Many poor decisions have been made. The Republicans have had the power and have done nothing to help. In fact, now they have aggravated the problem.

    Attacking each other will not solve the problem. Right now I think we should try to focus on solutions. The more ideas the better because maybe one of them will be the answer or a combination.

    Both sides are in error. We went against our Constitution. We need to get back to our Constitution.

  20. Reply
    diana1b
    April 30, 2011 at 11:56 am

    It is easy to come to the conclusion that this whole mess can be laid at the feet of the people that took out the loans, the lenders that gave them, Clinton for signing a bad law, and Phil “nation of whiners” Gramm for writing that same bad law.
    There is enough blame to go around for everyone to claim a piece of it. Pointing a finger at one individual may be a great ego booster for the anti-Clinton crowd, but it hardly gives an overall and balanced picture of how we got into this economic mess to begin with.
    It is my belief we need to stop looking for people to blame, all we have to do is look into the national mirror. Now it is time to take definitive action to remedy the problems.

  21. Reply
    HAZNOSTIC
    April 30, 2011 at 12:02 pm

    Then the Savings and Loan scandals of the 1980s and 1990s was Reagan and bush’s fault ! Now there, everybody has someone to blame !

  22. Reply
    ritchwilliams
    April 30, 2011 at 12:04 pm

    You’re kidding, right? The absolute last thing the democrats will EVER admit is the fact that this situation falls squarely and unequivocally into the laps of Carter, Clinton and Barney Frank. Their game plan, supported gleefully by the MSM, is to blame republicans. Need more proof? The first house bill failed by 22 votes. They blamed republicans for thwarting their efforts to ‘save America’ despite the fact that some 98 democrats voted against the bill. 98 democrats voted against a bill that lost by 22 votes! And they’re blaming republicans? Nancy and the crue are nothing if not rabidly self interested.

    But it’s working. Despite the fact that the congressional approval rating is in the single digits for the first time in history, despite the fact that the democratic congress has broken their own proud record for disapproval three times, they still stand to gain seats in November. That is freakin’ amazing. The democrat approval rating is around 9 percent and they’ll pick up seats. Incredible. And they STILL blame republicans! And people believe them. Astounding.

  23. Reply
    Sandy
    April 30, 2011 at 12:21 pm

    Who deregulated the banks? And additionally who was in charge of Congress at the time? The REPUBLICANS. No one has ever stated that it was only one party’s fault in this but the Republicans also had their fair share of the responsibility too. Additionally, the current administration didn’t even enforce the remaining regulations which would have stopped the banks from being able to over extend themselves to the point of collapse. They have also said that 80% of the sub-prime loans are still being paid and are in fine shape so if the banks hadn’t over extended themselves we wouldn’t be in this mess.

  24. Reply
    Phade3
    April 30, 2011 at 12:38 pm

    Sub prime lending and other similar business practices have been going for years. The victims are usually minorities and those who are not educated in personal finance and how interest rates work. When a lender “oks” a loan to someone with exorbitant interest rates the lender knows full well these people in all likelihood will not be able to pay that money back.

    Someone making say $ 40,000 per year already in debt with bad credit does not qualify for a loan under normal non scrupulous intent. When people loan money to those who should not be approved, they are luring in their prey and setting them up for failure while reaping the monetary rewards.

    In any inner city in America you will find pawn shops, pay day loan places and rent to own places and these establishments are taking advantage of less fortunate or financially uneducated people to turn a buck. It’s been happening for decades now and it finally caught u with us.

    I agree with everything in the post by #468 ! You hit the nail on the head !

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