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I still remember that one CNBC reporter who said that the housing crisis was the fault of "loser homeowners", rather than banks issuing loans en masse to people
by gaur 11y ago
I still remember that one CNBC reporter who said that the housing crisis was the fault of "loser homeowners", rather than banks issuing loans en masse to people they knew had no means to pay the money back.
- tanderson92 11y agoThat was Rick Santelli and the 'rant of the year'. He is credited as one of the instigators of the Tea Party movement. Incidentally, Jon Stewart of the Daily Show had some choice words for Mr. Santelli.
- prostoalex 10y agoMost of the banks' underwriting policies involve loans at 80% maximum LTV (hence 20% down payment expected from the buyer). Most of the subprime sector evolved from trying to game the 20% requirement, either legislatively (through HUD and other "assistance" programs), financially (interest-only loans) or just plain old dishonesty (no-doc loans) originated by companies like Countrywide.