Lock the banksters up. Only bonus' should be a square of TP daily

[Po_d Mainiac]

Between 2004 and 2007, bank affiliates made more than 1.1 million subprime loans, around 13 percent of the national total, federal data show. Thousands ended in foreclosure
<snip>
During the boom, however, the Fed left those powers largely unused. It imposed few new constraints on mortgage lending and pulled back from enforcing rules that did exist.
<snip>
Most subprime affiliates began life as independent consumer finance companies, beyond the watch of banking regulators.
<snip>
The advocates amassed evidence of abusive practices by lenders, such as Fleet Finance, an affiliate of a New England bank that eventually paid the state of Georgia $115 million to settle allegations that it charged thousands of lower-income black families usurious interest rates and punitive fees on home-equity loans.

more at
http://www.washingtonpost.com/wp-dyn/content/article/2009/09/26/AR2009092602706.html?nav=emailpage

Of coarse NO one could have seen it coming. If you're a Chopper Ben/Turbo Tim fan, think again!:grr:

[hobbit709]

1. Lock them up in a supermax, no country club for them.

That would change their attitudes real quick.

[Po_d Mainiac]

2. More

Missed this line in the original post

The Fed also minimized repeated warnings about mortgage lending abuses in part because it was an institution dominated by big-picture economists focused on the health of the broader economy rather than the problems faced by individual borrowers.

Wow if enough individuals go bust, it ripples back into the broader economy. Who'd a thunk it :puke:

[unblock]

3. that's an odd excuse. it was the big picture that was getting screwed up (too much debt everywhere)

enron was essentially a one-off. but the subprime mess / credit crunch was due to overall leverage ratios, both of homeowners and banks, getting out of hand. "big-picture" economists should have recognized that as an obvious red flag, especially as it preceded the 1929 crash (overleveraging of banks and stockholders, in that case).