
Comrades,
I am trusting you have been consuming previous entries in my Tutorial series below:
You have not?! Then how are you being able to finish series?! Back, foul beast!
You may be recalling, when last we were leaving intrepid explorers, comrade Gregorovich was reverberating within 12 dimensions of the m-brane, revealing the non-linear oscillations inherent within… It was apparent that comrade Gregorovich was keeping his wrath in check, but only barely. I found it prudent to keep my questioning to a minimum, and allow him to more quickly move through the material.
“Friend Konstantinovich, as you can see, these Marxists have seen fit to attack one of this nation’s most beautiful, most heroic, brilliant patriots to ever grace its borders. Look >HERE<:" Media conservatives baselessly blame Community Reinvestment Act for foreclosure spike
Summary: Several conservatives in the media have recently blamed the Community Reinvestment Act for the current financial crisis -- when, in fact, the CRA does not apply to institutions making the vast majority of troubled loans underlying the crisis. It applies only to depository institutions, such as banks and savings and loan associations. Experts have estimated that 80 percent of high-priced subprime loans were offered by financial institutions that are not subject to the CRA.[...]
“Yes, comrade Gregorovich! I am seeing it! These people are taking comrades out of context, yes?”
“Well…no, friend. If we listen to the audio clips, they match up with the transcripts, I suppose…”
“Ah! Then the links they are posting take us to poorly cited, irresponsible publications that are having no credibility! Is true, comrade?”
“Um…well they’re actually well-respected publications, government numbers even. And it would be pretty hard to fake all that data…I mean it’s all available to the public…and they’re factual, I suppose…”
“I am afraid I am not seeing, comrade.”
Comrade Gregorovich shook his head as though to clear it, and emitted once again his characteristic high-pitched giggle.
“My friend, you shall discover that ‘facts’ are not always pertinent in life. Which brings us to our subject today. See here:”
[...]Pushing further into low-income markets under CRA has not weakened banks’ profitability and soundness. In the small “special programs” that serve as banks’ CRA laboratories, employing new and innovative strategies, most institutions reported low delinquency and charge-off rates. In fact, most institutions surveyed reported a net charge-off rate of zero for these programs.[...]
“As you can see, friend Konstantinovich, it is REAL Americans (to paraphrase your fellow blogger) and not…” again was comrade Gregorovich fighting the urge to vomit, “...Media Matters…ugh, which is in possession of the ‘right’ facts.”
“’Right facts’, comrade? Facts can be wrong?”
“Yes, my friend, they indeed can. I ask you: does Bill O'Reilly provide any proof of his allegations regarding the CRA? Does he mention any literature, or research he may be holding that would back up his position?
No, he does not.
Now, friend, do you see any evidence that…Media Matters...pardon my deep breathing. It is the only way I am refraining from vomiting every time I utter the name. Do you see evidence that THEY have to rebut his argument?”
“Comrade, I am seeing many links that are contradicting comrade O'Reilly's position.
There is the CRA's website >HERE<, which directly contradicts his wordings. They are saying: Neither the CRA nor its implementing regulation gives specific criteria for rating the performance of depository institutions. Rather, the law indicates that the evaluation process should accommodate an institution's individual circumstances. Nor does the law require institutions to make high-risk loans that jeopardize their safety. To the contrary, the law makes it clear that an institution's CRA activities should be undertaken in a safe and sound manner.
There is quoting from CEO of a Federal Reserve Bank >HERE<: There has been a tendency to conflate the current problems in the subprime market with CRA-motivated lending, or with lending to low-income families in general. I believe it is very important to make a distinction between the two. Most of the loans made by depository institutions examined under the CRA have not been higher-priced loans, and studies have shown that the CRA has increased the volume of responsible lending to low- and moderate-income households. We should not view the current foreclosure trends as justification to abandon the goal of expanding access to credit among low-income households, since access to credit, and the subsequent ability to buy a home, remains one of the most important mechanisms we have to help low-income families build wealth over the long term.
Also is listing of proof by another Federal Reserve Bank >HERE<: Still, even after the study took into account economic factors like income and property values as well as other nonracial characteristics, the report said a sharp difference remained between the percentage of mortgages in white neighborhoods and the percentage in black neighborhoods.
These are government officials, comrade. Not only that, but many are bankers as well. Does that not bolster their claims?”
Comrade Gregorovich giggled again, performed a back flip, and began juggling lighted hurricane lamps while balancing on one leg, “You are nearing the end of today’s lesson, friend! Quickly, now! Let us now travel to another so-called ‘fact checker’: Wikipedia!
Now here you shall find their entry for the Community Reinvestment Act.
What do you see, friend?”
Community Reinvestment Act
From Wikipedia, the free encyclopedia
The Community Reinvestment Act (or CRA, Pub.L. 95-128, title VIII, 91 Stat. 1147, 12 U.S.C. § 2901 et seq.) is a United States federal law designed to encourage commercial banks and savings associations to meet the needs of borrowers in all segments of their communities, including low- and moderate-income neighborhoods.[1][2][3] Community activists had lobbied the US Congress to pass the Act in order to reduce discriminatory credit practices against low-income neighborhoods, a practice known as redlining.[4]
The Act requires the appropriate federal financial supervisory agencies to encourage regulated financial institutions to meet the credit needs of the local communities in which they are chartered, consistent with safe and sound operation. (See full text of Act and current regulations.[1]) To enforce the statute, federal regulatory agencies examine banking institutions for CRA compliance, and take this information into consideration when approving applications for new bank branches or for mergers or acquisitions.[5]
“Comrade, I am seeing information that also contradicts what comrade O'Reilly was informing. Additionally, I am seeing citation sources from which Wikipedia gained its knowledge. Is true, yes?
And it too is looking >HERE<, to imply that the CRA is, if not completely blameless, is at most a very minor player in your economic collapse. Yes?”
Comrade Gregorovich was absolutely gleeful at this point, and began simultaneously preening his carapace and dancing a provincial jig, giggling all the while.
“You’re getting warmer, friend Konstantinovich! You’re nearly burning up! Just a little further now!
Now! Follow that link THERE!”
I did as instructed, and was struck dumb by the sheer magnitude of what I had been led to discover.
-Dasvedanya!