The housing crash of 2008 is now 10 years in the rearview mirror, but the danger of another crisis lurks despite assurances to the contrary.
We’ve been told that the housing bubble and collapse was about predatory lending and high-risk borrowers who were duped into loans that they couldn’t afford. The massive regulatory response to the subprime crisis meant that banks were no longer allowed to behave badly. So they have chosen to behave differently – and that’s not a good thing, Pamela says.
“The largest source of mortgage lending in the United States is now being done by non-banks – financial entities that offer unsecured personal lending, business loans, leveraged lending, and mortgage services, but do not hold a banking license,” she says.
“As a result, they're not subject to standard banking oversight and can engage in risky lending.”
http://feedproxy.google.com/~r/zerohedge/feed/~3/_exEuOuNUSk/backdoor-lending-subprime-work-around-could-crush-your-retirement
Realist - Everybody in America is soft, and hates conflict. The cure for this, both in politics and social life, is the same -- hardihood. Give them raw truth.
| 