Conversion Solutions Holdings (fka CSHD)

[samaelrocks]

I don't know about you guys but I'm tired of hearing of George Bush policies taking the hit for today's Credit Crisis. No doubt that government spending is out of control weakening the dollar. But where did all this start? Remember when it used to be tough to get a loan for a house? It became much easier under Clinton's reign as he changed the 1977 Community Reinvestment Act to help people with less than perfect credit get loans. In comes the sub prime financing:

http://www.4president.us/issues/clinton1996/clinton1996community.htm

"Revising regulations under the Community Reinvestment Act (CRA) to require financial institutions to lend in their host communities. Under the CRA, banks are now judged on performance—actual lending, investments, and basic banking services. For the first time, banks will have the opportunity to receive CRA credit for loans made for redeveloping old industrial waste sites (“Brownfields”). CRA reform will unleash billions of dollars in new credit to distressed communities."

We get more info on the birth of subprime lending from Wiki:

"Clinton Administration's Changes of 1995The Clinton Administration's regulatory revisions [1] with an effective starting date of January 31, 1995 were credited with substantially increasing the number and aggregate amount of loans to small businesses and to low- and moderate-income borrowers for home loans. Part of the increase in home loans was due to increased efficiency and the genesis of lenders, like Countrywide, that do not mitigate loan risk with savings deposits as do traditional banks using the new subprime authorization. This is known as the secondary market for mortgage loans. The revisions allowed the securitization of CRA loans containing subprime mortgages. The first public securitization of CRA loans started in 1997. [2]"

In fact, George Bushed increased the oversight of Fannie Mae and Freddie Mac in the face of Democratic opposition:

Mel Watt (D N.C.)Opposition to increased oversight of Fannie Mae and Freddie Mac

In 2003, Watt opposed efforts by the Bush Administration and Congressional Republicans to increase regulatory oversight of Fannie Mae and Freddie Mac.[5] "I don't see much other than a shell game going on here, moving something from one agency to another and in the process weakening the bargaining power of poorer families and their ability to get affordable housing", Mr. Watt said.[6]

Please keep all of this in mind when you hear Nancy Pelosi blame Bush policies for today's credit crisis. She is outright lying: http://thehill.com/leading-the-news/pelosi-dems-bear-no-responsibility-for-economic-crisis-2008-09-16.html

Samael