Subprime Crisis and the Government

[honedright]

This should be interesting: Countrywide Financial Offered Special Deals To Lawmakers Amid Probe - cbs4.com

Apparently Countrywide, one of the largest issuers of sub-prime housing loans was making special deals with members of the House Financial Services Committee, and others in Washington.

Of course the investigation is on-going, but it will be interesting to see just how far this goes. Might I speculate that a little "quid pro quo" was going on?

I have contended, based on what I've read, that much of this mortgage melt down and subsequent financial crisis was mainly due to government involvement. IIRC Barack Obama was one of the attorneys used by ACORN to sue Countrywide to make then give out loans in redlined communities.

Maybe Countrywide was just trying to get some of these loan pedelers off of their backs? But I'm speculating again. I know the article says Countrywide was trying to get regulators off their backs...

We'll see....