It should be Illegal to Lend to Poor Blacks
Violence in inner city schools is mostly a black problem, or so Jesse Jackson writes (1). Because banks charge more interest to those who can hardly pay off their loans, Jackson calls them "predatory lenders". Because these poor blacks are "fleeced" they are forced into a life of violence and crime.
Hymie Town Jackson forgets that it is groups like ACORN that forced banks to give loans to people who cannot afford them in the first place. Interest rates are not the problem, poor people are the problem. Poor people should not be borrowing money for the simple reason that they are least likely to be able to pay them off.
The average middle-class wage-earner has already pulled back on not only borrowing but even on buying anything expensive - not because he has lost his job, but because he's uncertain if he'll be able to hold on to it in the present economic environment.
Poor people, who are last hired and first fired, should not be buying homes. I agree with Reverend Jackson (and I use the term Reverend very loosely) that predatory lending should be stopped - it should be made illegal to lend to poor people just as it is illegal to sell toys painted with lead-based ingredients.
One could argue that the consumer should know not to buy lead-base painted toys and it is none of the government's business, I would argue that children are not in a position to know what is good for them. Poor people, the majority of whom are barely educated, are not in a position to know that they cannot afford high-interest loans. Since groups like ACORN exploit their own people, the government should step in to protect them.
Sadly, Obama is not satisfied with America being in a recession, now he wants to expand the Community Reinvestment Act (The program that put us into the present mess) to lend even more money to even more poor people (2).
The irony is that while Jesse Jackson realizes that poor blacks are forced into foreclosures because they cannot afford to pay their loans, he will joyfully support even more home loans to even a greater number of poor blacks who cannot afford them.
Is there any black leader out there who is not stupid, who does not screw over almost every member of his race?
ENDNOTES
(1):
Chicago Sun Times, 6 Oct 2009, Derrion tragedy a sign of much bigger illness
BY JESSE JACKSON
In the wake of the murder of a Fenger High School student in Chicago, President Obama has dispatched Attorney General Eric Holder and Education Secretary Arne Duncan to the city. Their purpose, according to White House press secretary Robert Gibbs, is to "talk about issues of school violence and youth violence."
...
But let's be clear. Sixteen-year-old Derrion Albert's death is a horror -- but it is not an isolated event. Last year, 400 kids were shot; 40 were killed. Each year witnesses more and more innocent bystanders martyred to the violence. What we witness in Chicago -- and in other urban areas -- is a zone where violence is close to routine.
...
In Chicago, as Illinois Attorney General Lisa Madigan has shown, minorities were targeted by predatory lenders. They were pushed into subprime loans with exotic, often unexplained terms that ended up systematically fleecing the largely young workers stretching to be part of the American dream. Blacks and Latinos -- at all income levels -- pay more for mortgages, for business loans, for personal loans. Too often last hired and first fired, they are suffering higher levels of foreclosures and evictions in the wake of the collapse. And those who have paid their mortgages have watched the value of their homes plummet as foreclosures scar their neighborhoods.
...
we need to enforce equal protection under the laws. Crack down on predatory lenders who prey on minority communities.
(2):
Moon Battery, 6 Oct 2009, Chairman Zero's Latest Plan to Destroy the Economy
The Obamacrats are planning to expand the Community Reinvestment Act -- the one that helped to fuel the mortgage meltdown --- and amend it to take oversight authority away from bank examiners and over to groups like ACORN and the SEIU. ACORN (and/or groups like it) would have regulatory authority to force banks to make mortgage loans under the amended CRA.
Either the Obamacrats are deliberately out to Cloward-Piven the economy, or they are completely bugfrack insane. Those are the only two possibilities. They have cap and trade to destroy the energy sector. They want to nationalize health insurance. They want to use card check to wipe out manufacturing and service industries. Salary caps and Draconian regulations will kill the financial sector. The Obamacrats seemed determine to destroy every sector of the economy.
