okay so the bank of america
is just isn't the whole list more as a discount for example was sooo
against the bank of america for a series of cross
practices that the uh... they allege were being done william was wilson
says the bank conducted what was called the bullets twice a month every every
two weeks
uh... case managers were instructed to deny any uh... applications for the home
affordable modification program a camp program
three basically can refinance backed by the government
why well those hamp
in a brief eisenhower's profitable as the old let's just take your home
other five-letter aller bonuses for filling foreclosure
orders
chron simone gordon another employee
who plays ten or more counselor for closure any employee placed are more
accounts into foreclosure
in a given month receipt if either our bonus
for fewer than ten they gave things like gift cards to retail stores like target
or bed bath and beyond is rewards
and they lied to clients what documentation
burns affidavit said it was the banks policy to sit on financial documents
borrowers submitted for thirty days been labeled them stay alert where the
homeowner to reapply
for cheeks the contract employee was instructed to find any pretext
to justify closing loan modification applications even in cases where we knew
the borrower and in fact responded with complete documents
erica brown another whistleblower was instructed to inform us a quote from
lawsuits
was instructed to inform every homeowner who called in that their file was under
review even when she could see no one had looked at the documents in question
she personally says she saw more than a hundred incidents
in which the banks canceled alone modification do non-payment when the
files showed that all the payments have been received on time
so
we've got some bad actors in this country
brian tracy is on the line with us is arthur businessman success expert c_e_o_
brian tracy international website brian tracy
teary see why dot com implanted standing think we should not be regulating these
banks turns and other
uh... corporations in america quite as much as we are
how can you say that you know that when you hear this kind of stuff
well you know you have a lot perverse consequences every time they passed a
lot for political purposes
they create a problem which requires passing a law which creator of the
problem for example this
whole idea of the uh...
at home investment were banks were
to lend money to
not credit worthy borrowers has actually been totally deposit
what with it what the argument that you're putting forward is the old alex
jones arguments with that
during the
during the clinton a straight shooter in the carter administration rather
a law was passed that forced banks to loan money to people who are not credit
worthy
and it's simply not true it's been debunked i mean i a continues
to live on in the in the alex jones sand glenn beck a sphere
but the bowl law that you're talking about was a law that outlawed redlining
what it said was that
abbank could no longer say we will not loan to you if you live in this
particular zipcode
which is what they choose to do now under the law that was passed in the
carter administration
the banks had to look at the individual homeowners creditworthiness
and make the decisions on a case-by-case basis
rather than doing it based on zipcodes or on neon on city blocks
ever that separate present certain sub-prime meltdown na na na na that
that's an interesting deregulation quote done by phil gramm dollars now goes to
use the deregulation of the banks that led to the sub-prime meltdown
part nineteen ninety-nine it was illegal for banks to loan the
two people mutton blown give money to people when they were reveille regulated
they couldn't loan money to people
who couldn't afford to pay it back
when those regulations were removed as a result of gramm leach bliley in nineteen
ninety nine you know phil gramm push in this thing through because his wife when
he was on the board and running and run one it's seriously big time to get into
the banking business in this blew up
blast the glass steagle act that for
you know ever since nineteen thirty five a protected our system
when that was passed
then it became legal for banks to loan anything to anybody
and they did
and liar loans came along
there and then by the government
they were they were off the rise by the government by virtue of the regulation
going away
your your you're you're you're right there are great recover in the back
the banks are art
so heavily regulated are not allowed to make bad law and waived when the
government sister then they don't have loans militarily never insisted the make
bad law so early
but every person in a battle and they didn't get your ticket i will buy the
launch from you
federal government has set of lending money and making the
uh... dvd debate restated arbitrage
circulate long without any kind by the government guarantee to buy them all
back
that's why the f_h_a_ an f_d_a_ and so on our or off
bankrupt because why the whole khadka karmic last but it's because of
deregulation ethically regulation create a problem
but it's because of deregulation that regulation was go back to the most
heavily regulated organization yesterday thinking while he was the deregulation
the banks that allowed them to loan money to un credit-worthy people
there was a regulation the required them to her deregulation of what that you
make these if you don't make these loans we're going to hurt u very badly you
cannot do make them we will buy them from you so you just make a profit
i'll tell you are going ok
and also that i a sailor brian if you can come back on this program with one
example
of one bank
you know one
in the entire history of the lack of the twenty first century
one bank
there was punished
because they said this person is not credit worthy and the government came in
and said okay we're gonna try to you in a members actually was in credit worthy
come back on this program and i will publicly apologized to you in fact and
you know i'm byron t_v_i_ will borrow down to you
but i'm telling you you've been listening to unpack or or somebody like
that it is not true
and i just read about your four hundred noted newspaper accounts
but books articles
program and one private-sector foundations give me one example at the
heritage foundation the wall street journal doesn't make a true so
after all we all talk in generalities
we when you say give me one example of one bank
they got back down by the government is a good one along money to somebody
because that person was unemployed
you can find
okay well that's answer arruda if there was such an example brian if that person
would be as famous as reagan's welfare queen
we would all know that person's name
banks bank of the most conservative writers in the history of the world
basically don't throw money
it had not had that sub-prime lenders and they were forced to do it by the
government no in uh... other than that they would be place and so they do
nowadays they think we have to do it agreed on by the mortgages crack but
again that they did it because they could think of offload
the the people who were originating those mortgages first of all
the in most cases weren't even banks they were loop they were mortgage
origination companies like like countrywide
and they could offload that mortgage
within
mets i mean men in many cases these mortgages were held for minutes
and tenement in the space came their fear of the top of the nail off-loaded
to some of the bank
and that bank lawful is it to another bank it eventually gets to a bank
that turns it into a derivative
they they book bundled thousands of miguel there
and they turned in in the interim millions and millions of dollars for the
mortgage is clearly a billions of dollars ordering a little bit
you know what reserve banking it went went willingly brothers collapsed
they had they weren't there were eleven forty two to one right and the bottom of
their pyramid what government guaranteed uh... sub-prime mortgage loans and you
realize that when they were regularly before gramm leach bliley there in that
they couldn't darlene or the thirteen eleven toady
the pyramid fell down
but i think it was because the government
stop regulating sub-prime loans
it was because the government start regulating them
the government we listed that the the the federal banking authorities used to
enforce a thirteen to one maximum ratio
and it went well and alan greenspan actually lobbied
to pull out thing back and and you know
they pull it back
well bill seidman the guy who what why don't we just
where we can progresses size okay out giving others and all that about arthur
battering relations
you're you're asking me about my hearing about government regulations unitarian
with entrepreneurs
uh... you wanna talk about that
i think we have been that's
we only got a minute left
alright route
guinere in here best but but but but but devising a plan to the most
entrepreneurial countries create the greatest number of jobs and wealth and
opportunity tiger most people
everyone to restructure perilous at the highest taxes in the most regulation
and they go in the opposite direction
and we're going opposite direction dying and i did some only asked pretty low
taxes very low regulations
and but sleeping with a lot of taxes a lot of regulation cc doing better and
smaller
yes if you look at the swedish active which examined very carefully daily for
three all private property in private hands the normal if it is also they
allow enormous amount of deductions that are not allowed in the u_s_ backed by
the u_s_ actually
more partners for cooperation between poker brian tracy
level as political and brian tracy dot com thanks for being with us
this is the time arguing
feedback
should we deregulate
everybody
thanks
windfall