The Last Mystery of the Financial Crisis

[bripat9643]

According to liberal turds like you, bad mortgages had nothing to do with the recession. So how could agencies that rate securities composed of bundles of mortgages be in anyway responsible?

By Matt Taibbi
June 19, 2013 9:00 AM ET

It's long been suspected that ratings agencies like Moody's and Standard & Poor's helped trigger the meltdown. A new trove of embarrassing documents shows how they did it.

What about the ratings agencies?

That's what "they" always say about the financial crisis and the teeming rat's nest of corruption it left behind. Everybody else got plenty of blame: the greed-fattened banks, the sleeping regulators, the unscrupulous mortgage hucksters like spray-tanned Countrywide ex-CEO Angelo Mozilo.

But what about the ratings agencies? Isn't it true that almost none of the fraud that's swallowed Wall Street in the past decade could have taken place without companies like Moody's and Standard & Poor's rubber-stamping it? Aren't they guilty, too?

Man, are they ever. And a lot more than even the least generous of us suspected.

Much More: The Last Mystery of the Financial Crisis | Politics News | Rolling Stone

Bloated bundled mortgages and crooked ratings agencies by the ones too crooked to fail. Average Americans don't stand much of a chance - even when we know what's going on. We're fucked.

 

[healthmyths]

Did Rolling Stoned explain what Jamie Gorelick, the one person in American who needs to be executed on general principles alone (she of Reno's and the Rapist Clinton's "Wall" Fame)..... Did they explain what that cvnt was doin sitting on the Board of Fannie Mae collect MILLIONS of Dollars in pay and bonuses?

No? Since 99.99% of you libtards aren't bright enough to connect th dots in a childrens' Comic Book, let me ask you why a fuking lawyer was sitting on the Board of Fannie Mae, at the #2 position?

She had no background in Business. No background in Finance. No background in Banking.

And then there's Franklin Raines. He looted MILLIONS upon MILLIONS of dollars from Fannie.

As did Jamie Gorelick. As did Jim Johnson. As did Tim Howard.

Six times between 2003 and 2006, Republicans tried to rein-in Fannie Mae and Freddie Mac. All six times, dimocrap scum started screaming RACISM!!!! (because of the CRA) and killed every attempt by Republicans to stop the madness.

THE worst Fed Chairman in Galactic History didn't help none, either. I tried to tell people he was an idiot, but they wouldn't listen.

What can you expect from someone married to Andrea Mitchell?

All these people, Raines, Johnson, Howard, Gorelick, Greespawn.....

Every single one of them -- dimocraps.

The scum of the Earth.

And oh, one more thing.... Hank Greenberg, who invented the CDS, swears that if Client #9 hadn't gone after him like Himmler after a Jewish Resistance Fighter, that none of this would have happened. That people who took over AIG after him had no clue what they were doing.

I don't know about that. But I know that the Financial Crisis was not 90% dimocraps' fault. It wasn't 99%.

It was 100% totally, completely and absolutely dimocraps fault. Beginning to end.

I saw it coming. I warned people. I tried to stop them from ruining their lives. But they didn't listen.

Now, many of them have lost everything. Their homes, their wives and husbands, their savings, their retirement, their families, their minds, their jobs.... Everything.

But the top dimocrap scum who orchestrated all this?

They're doing just fine, thank you.

Oh, and no. I really don't feel too awfully sorry for the people that lost everything.

Stupidity pays its own dividend.

Gorelick is the same who wrote the following Memo:
As the No. 2 person in the Clinton Justice Department, Ms. Gorelick rejected advice from the U.S. attorney for the Southern District of New York, who warned against placing more limits on communications between law-enforcement officials and prosecutors pursuing counterterrorism cases, according to several internal documents written in summer 1995.
The documents — released yesterday by the Justice Department at the request of two Senate Republicans — drew renewed calls for Ms. Gorelick to testify publicly before the September 11 commission about the so-called “wall” between law enforcement and intelligence agencies that many have blamed for allowing the 2001 terrorist attacks to occur.
Memos show Gorelick involvement in 'wall' - Washington Times

These rules were, shortly after their creation, expanded to regulate such communications in future counter-terrorism investigations.
It set a procedure where various intelligence operations could not share information with each other.

Jamie Gorelick’s wall barred anti-terror investigators from accessing the computer of Zacarias Moussaoui, the 20th hijacker, already in custody on an immigration violation shortly before 9/11.
At the time, an enraged FBI investigator wrote a prophetic memo to headquarters about the wall
‘Whatever has happened to this — someday someone will die — and wall or not — the public will not understand why we were not more effective in throwing every resource we had at certain problems…..especially since the biggest threat to us UBL [Usama bin Laden], is getting the most protection.
Breitbart News: Big Government

 

[bitterlyclingin]

They weren't Triple A grade because of the Democrat's attempts at social engineering specifically labeled the CRA.

You forget, the banks in Chicago, our Chicago Jesus's home town had signs in their lobbies reading "Need a mortgage? No Green Card/ No problem!" at the time.

The banks were forced by the Democratic Congress and the Democratic President to make loans they knew were bad, and being resourceful humans, they used every device in their book of tradecraft to reduce their risk by exposure. To do otherwise would have been like asking somebody to just stand there and hold a stick of dynamite in their hand watching the lit fuse burn down to its explosive end.

And if anyone dared complain about the quality of the resulting product, they would have instantly had Chuckie Schumers (D-NY) d!ck up their @ss.

It was simply the "Law Of Unintended Consequences " in action while the Democrats were engaged in their typical fare of "Think of all the voters"

[ame=http://www.youtube.com/watch?annotation_id=annotation_918789&feature=iv&src_vid=NU6fuFrdCJY&v=1RZVw3no2A4]Burning Down The House: What Caused Our Economic Crisis? Bombshell - YouTube[/ame]

 

[Bfgrn]

They weren't Triple A grade because of the Democrat's attempts at social engineering specifically labeled the CRA.

You forget, the banks in Chicago, our Chicago Jesus's home town had signs in their lobbies reading "Need a mortgage? No Green Card/ No problem!" at the time.

The banks were forced by the Democratic Congress and the Democratic President to make loans they knew were bad, and being resourceful humans, they used every device in their book of tradecraft to reduce their risk by exposure. To do otherwise would have been like asking somebody to just stand there and hold a stick of dynamite in their hand watching the lit fuse burn down to its explosive end.

And if anyone dared complain about the quality of the resulting product, they would have instantly had Chuckie Schumers (D-NY) d!ck up their @ss.

It was simply the "Law Of Unintended Consequences " in action while the Democrats were engaged in their typical fare of "Think of all the voters"

Burning Down The House: What Caused Our Economic Crisis? Bombshell - YouTube

Right wing fairy tales.

The financial crisis is a prime example of how conservatives have created a narrative based on their worldview that wealth = morality, so it had to be because of the immoral, the poor people, the minorities and of course there has to be an accomplice; government.

NEITHER were the cause.

Here is what we DO know:

1) The financial crisis was not caused by low and middle income families buying a home.

2) It was not caused by dead beat poor people.

3) Fannie and Freddie were not to cause.

4) The Community Investment Act was not the culprit either.

The crisis was caused by private lending, to mostly upper middle class and the wealthy. ONLY 6% of of all the higher-priced loans were extended by CRA-covered lenders to lower-income borrowers or neighborhoods in their CRA assessment areas. The majority of those foreclosed on were wealthy and upper middle class, plus a huge segment of speculators; buyers who were wealthy home flippers looking for a fast buck. They strategically walked away from investments that went sour, not from their 'homes'. They never had any intent on living there.

Only a huge amount of mortgage defaults at once could cause a rupture of the housing market. And only a huge amount of speculators dumping 'bad' investments all at once could explain it. Because honest citizens who were buying a homestead kept paying even when they should have walked away. If those were the people to blame, it would have been a slow leak, not a rupture.

AND, what really sucks for the right wing propaganda of lies, all the way back to the late '90's there was one very outspoken and vocal critic of predatory lending practices, they even held protests at companies like Wells Fargo and Lehman Brothers...ACORN


WSJ - Fed’s Kroszner: Don’t Blame CRA

WSJ - Fed’s Kroszner: Don’t Blame CRA - The Sequel

Reuters - UPDATE 2-Lending to poor didn't spur crisis

Don't Blame the Community Reinvestment Act

Business Insider - Here's Why Fannie And Freddie Are Not At Fault For The Housing Bubble

Center for Responsible Lending - CRA is not to Blame for the Mortgage Meltdown

Don't blame Fannie and Freddie

Private sector loans, not Fannie or Freddie, triggered crisis

ForeclosureS.com - ACORN - Progress in the Fight Against Predatory Lending

Acorn Led Financial Sector With Warnings on Lending

Biggest Defaulters on Mortgages Are the Rich

The Millionaire Foreclosure Club

Foreclosure double standard: Why the rich get away with defaulting

More Rich People Default On Mortgages

The rich bail faster on mortgages

Biggest Defaulters on Mortgages Are the Rich

Rich Borrowers More Likely to Default on Mortgage

Foreclosures & Walking Away: 60 Minutes Eyes an ‘Epidemic’

Speculation By Investors Largely Cause Of Foreclosure Crisis

How the Foreclosure Crisis Started: Investors, Speculators, Mortgage Fraud & Lax Lending Standards


"Eighty percent of Republicans are just Democrats that don't know what's going on"
Robert F. Kennedy Jr.

 

[Spoonman]

...and they're still listened to and treated like Sages.
How do these outfits have any credibility at all?

The answer is that the international financial institutions, political regimes, global corporations and super-wealthy inhabit their own world in which our world is nothing more than a tool.
They are untouchable to us.

Luckily, I have alcohol.....

Amen!

I no longer even trust the stock markets. I believe they are rigged and dominated by high-speed computerized algorithms.

so would you care to tell us exactly what bush legislation led to this?


this should be good

 

[LordBrownTrout]

...and they're still listened to and treated like Sages.
How do these outfits have any credibility at all?

The answer is that the international financial institutions, political regimes, global corporations and super-wealthy inhabit their own world in which our world is nothing more than a tool.
They are untouchable to us.

Luckily, I have alcohol.....

Amen!

I no longer even trust the stock markets. I believe they are rigged and dominated by high-speed computerized algorithms.

The feds are rigging them at 85 billion a month. That's going to be an awesome explosion when the corpse dries up.

 

[Spoonman]

when the market rose to record levels under bush it was all manipulated data, a smoke screen hiding the real position. But, when it rises under obama, it's master economics.