Here's another one for you... Cleveland FRB...<quoted text>sure does.
BS unfortunately the facts conincide just look at the housing market with all the foreclosures that happened and not seen since the Great Depression and the Pseudo Liberal Democrats were behind it.
7/18/2008 @ 11:30AM
The Government Did It(excerpt from the article)
The CRA forces banks to make loans in poor communities, loans that banks may otherwise reject as financially unsound. Under the CRA, banks must convince a set of bureaucracies that they are not engaging in discrimination, a charge that the act encourages any CRA-recognized community group to bring forward. Otherwise, any merger or expansion the banks attempt will likely be denied. But what counts as discrimination?
Media Heresy: Bill Clinton Helped Cause 2008 Financial Crisis
"... Survey Results: CRA-Related Lending
We received responses from 143 of the 500 institutions to which we sent the survey (a 28.6 percent response rate). These responses and our follow-up telephone contacts revealed that banking institutions generally do not track profitability and performance separately for CRA-related lending, so our report emphasized qualitative results regarding profitability. Because fewer than half of the respondents answered quantitative questions on performance, one must be cautious when using these responses to draw qualitative inferences comparing the performance of CRA-related and other lending.
The results varied by loan product. Home purchase and refinance lending has the largest origination volume by far ($570 billion, of which about 10 percent is CRA-related). Responses indicated that overall as well as CRA-related home purchase and refinance lending is profitable or marginally profitable for most institutions. On a dollar-weighted basis, about 85 percent of survey respondents said that their CRA-related lending as a whole was at least marginally profitable. However, CRA-related home purchase and refinance lending was reported to be less profitable and to have similar or higher delinquency rates than other home purchase and refinance lending. Concerning this product, about 63 percent of respondents said that their CRA-related lending was less profitable than their overall lending. Differences are less dramatic when measured on a per-institution basis...."