The whole "You have to lend to everybody, whether they can pay it back or not, or you're racist" Community Reinvestment Act has had some majorly interesting consequences beyond the whole housing crash.
Because they're not allowed to vet potential borrowers to see if the loans are a good business investment, a lot of small banks...aren't lending.
It's a good thing we were planning on saving as much as we possibly could before we even really consider selling our home to buy a home on some acreage outside city limits. I don't want to bother with the BS of borrowing from banks that don't want to lend, or from banks that won't do manual underwriting, since we won't have had any debt for more than ten years by the time we're ready.
(It's already been about five years since we paid off our car--and we haven't had credit cards for longer.)
The Community Reinvestment Act is a perfect illustration of an old cliche: the road to hell really is paved with good intentions.
46 minutes ago
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