Overextend yourself, live well beyond your means and you shall be rewarded:
The Obama administration on Monday promised tougher scrutiny of lenders participating in its marquee foreclosure-prevention effort and threatened to penalize companies that don’t do enough to help struggling homeowners.
Force the lenders to make bad mortages by making the Community Reinvestment Act law, and then force them again,
Under the program, eligible homeowners can have their loans modified to reduce their mortgage payments to 31 percent of their income. To qualify for a permanent modification, borrowers must provide extensive documentation and make three consecutive payments to prove they can afford the new loan.
Give it time and someone in DC will come up with ways to force banks to do some Robin Hood Bankerin.
So long as the taxpayers don’t understand that all this political generosity and compassion are at their expense, Barney Frank is an odds-on favorite to get re-elected.
There will be no podcast this morning. I have a business appointment that was rescheduled.