The Obama Administration is reportedly pushing banks to increase mortgage lending to people with relatively weak credit in hopes of boosting home sales. But the very same policy under Presidents Clinton and Bush contributed mightily to the housing bubble that ultimately devastated millions of families in mortgage default. Credit is …
Not many people know the meaning of “swap” (as in a financial hedge, not flea market). Only the most sophisticated investors actually understand the complexities of buffering risk by exchanging cash flows. Under Dodd–Frank, however, federal regulators have been tasked with assuming control of this market, in which hundreds of …
All across America, families are balancing their budgets and even paying off debt. Since the financial panic of 2008, personal debt has fallen as Americans tighten their belts and pay back loans. Some, unfortunately, had to declare bankruptcy because their debts got too big. Washington cannot declare bankruptcy; it must …
Last week, Wells Fargo, the nation’s largest mortgage lender, was sued by the U.S. Attorney in Manhattan for allegedly defrauding the Federal Housing Administration (FHA). This is just the latest proof that additional regulation of major banks’ mortgage lending is not needed. As a series of recently filed lawsuits shows, …
Earlier this month, Ecuador’s National Assembly passed legislation that would nationalize the country’s private credit reporting industry. President Rafael Correa has to decide by November 4 whether or not to sign it. The legislation would permit only the government’s central public data agency to provide credit reports and scores. Private …
On Friday evening, Standard & Poor’s (S&P) downgraded the U.S. credit rating from AAA to AA+. As we and other conservatives warned, the spending reductions in the deal negotiated by President Obama to raise the debt ceiling were inadequate, and S&P reacted as we predicted but sooner. Neither Moody’s nor …
Put the security of the nation at risk or raise taxes. This is the sour “deal” liberal lawmakers are offering in exchange for insufficient spending cuts, according to reports of this weekend’s debt negotiations in Washington. The framework that Republicans and Democrats are close to approving would raise the debt …
Brand-new Congressmen don’t take office until January, but they’re already consumed with worry about the national debt. They’ll be faced with a vote expected next year to raise the debt ceiling beyond its current $14.3-trillion (about $47,000 apiece for everyone in America). The current $14.3-trillion debt ceiling has almost doubled …
