Tuesday, September 18, 2012

Thug Redistribution at Justice Dept.

Mitt Romney described almost half of Americans as “dependent upon government” during a private reception with donors earlier this year and said those voters will likely support President Obama because they believe they are “entitled to health care, to food, to housing, to you-name-it.”
The 2008 mortgage meltdown and ensuing financial crisis were largely caused by militant leftists who used the fist of Big Government to force banks to make bad loans based on race for the sake of wealth redistribution. The collapse worked out great for the Democrats, sweeping Obama into power, giving him a ready excuse for the predictable failure of his socialist policies, and making millions more reliant on government handouts. Consequently, it should come as no surprise that the Regime is doubling down on this lunacy, as if deliberately conspiring to cause another crash:

In a complaint filed Wednesday and settled the same day, Justice claimed that California-based Luther Burbank Savings violated the 1968 Fair Housing Act and 1974 Equal Credit Opportunity Act by setting a policy that had a “disparate impact” on minorities.
Between 2006 and mid-2011, 5.2% of Luther’s single-family residential mortgage loans went to African-Americans and Hispanics, compared to an average of 41.7% for other lenders in the area. The complaint doesn’t cite evidence of intentional discrimination because there wasn’t any. …

Over the period that Justice examined, Luther Burbank foreclosed on a mere 11 borrowers out of 629 loans outstanding — a loss ratio of 1.75%. In a normal world, Luther Burbank would get a medal from regulators for its risk management, having chosen borrowers even at the height of the housing mania who could meet their monthly payments.

But Assistant Attorney General for Civil Rights Thomas Perez has a different priority: He wants banks to meet lending quotas to minorities — regardless of whether those borrowers can afford the loans.
Obviously it isn’t the bank’s fault if politically privileged ethnic groups do not have the same work ethic as ethnic groups our liberal overlords despise. But “social justice” means never worrying about what a sane person would regard as fair.

How is a bank supposed to stay in business under these circumstances? It isn’t. Those that are deemed Too Big to Fail under Dodd-Frank have in effect been nationalized. The rest are obstacles to be eradicated on the path to socialism.

Read More at  Moonbattery

Consumer bureau to police credit reporting bureau...(with affirmative action agenda)

Jul 16, 2012

NEW YORK (AP) — The companies that determine Americans’ credit scores are about to come under scrutiny by the country’s new consumer watchdog.

The Consumer Financial Protection Bureau said Monday that it will start supervising the 30 largest firms that make up 94 percent of the industry. That includes the three big credit reporting firms: Equifax Inc., Experian and TransUnion.

This marks the first time that a single government agency will take an active role in policing credit bureaus, according to industry experts…

So how long will it be before these credit rating companies start doing affirmative action credit ratings to fulfill quota requirements? After all, there can’t be any more of a civil right than the right to a good credit score.

If banks can be forced to give mortgages to people with bad credit, why can’t credit companies be forced to give good credit ratings to people with bad credit? In the name of ‘fairness,’ of course...(snip)

Credit ratings are so important to our day to day life, we all have a right to a good credit score.

There have been thousands of complaints about credit reports from consumers who claim they are unsuccessful getting credit reporting agencies to correct inaccurate information…
Undoubtedly, due to racism and a general hatred of the poor.

But don’t worry. We can’t let people be discriminated against because of their low credit scores.

Read More at Sweetness and Light

Here is the settlement agreement...ACORN and Obama get the Cash!

Luther Burbank will now spend $2 million on initiatives to increase lending in minority neighborhoods in California.
Under the settlement, which is subject to court approval, the thrift will invest $1.1 million in a financing program to increase the amount of credit it extends to residential borrowers seeking loans of $400,000 or less.
It also will spend: $450,000 in partnerships with community-based organizations; $300,000 for outreach to potential customers; and $150,000 on consumer education programs.

Which will in turn keep employed a few "community organizers" to keep the juggernaut sniffing for more sources of funds.

H/T to Steve Sailor

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