DawgTalkers.net Forums DawgTalk Palus Politicus List of Trumps Signed Exec orders and Memos (information only)

You want to help me fill a bag of hammers?

I used to be a real estate investor, making moves to try to be one again. I don't know what was at the heart of the Dodd Frank thing because I lost my properties two years before the crash to begin with, but I do know that they made it too hard for people to try to get back into it.

What a cluster funk


1 Origins and proposal
2 Legislative response and passage
3 Overview
4 Provisions
4.1 Title I – Financial Stability
4.1.1 Financial Stability Oversight Council
4.1.2 Office of Financial Research
4.2 Title II – Orderly Liquidation Authority
4.2.1 FDIC liquidation
4.2.2 Orderly Liquidation Fund
4.2.3 Obligation limit and funding
4.2.4 Orderly Liquidation Authority Panel
4.3 Title III – Transfer of Powers to the Comptroller, the FDIC, and the Fed
4.4 Title IV – Regulation of Advisers to Hedge Funds and Others
4.5 Title V – Insurance
4.5.1 Subtitle A – Federal Insurance Office
4.5.2 Subtitle B – State-Based Insurance Reform
4.6 Title VI – Improvements to Regulation
4.6.1 Provisions
4.6.2 Background
4.7 Title VII – Wall Street Transparency and Accountability
4.8 Title VIII – Payment, Clearing and Settlement Supervision
4.9 Title IX – Investor Protections and Improvements to the Regulation of Securities
4.9.1 Subtitle A – Increasing Investor Protection
4.9.2 Subtitle B – Increasing Regulatory Enforcement and Remedies
4.9.3 Subtitle C – Improvements to the Regulation of Credit Rating Agencies
4.9.4 Subtitle D – Improvements to the Asset-Backed Securitization Process
4.9.5 Subtitle E – Accountability and Executive Compensation
4.9.6 Subtitle F – Improvements to the Management of the Securities and Exchange Commission
4.9.7 Subtitle G – Strengthening Corporate Governance
4.9.8 Subtitle H – Municipal Securities
4.9.9 Subtitle I – Public Company Accounting Oversight Board, Portfolio Margining, and Other Matters
4.9.10 Subtitle J – Securities and Exchange Commission Match Funding
4.10 Title X – Bureau of Consumer Financial Protection
4.11 Title XI – Federal Reserve System Provisions
4.11.1 Governance and oversight
4.11.2 Standards, plans & reports, and off-balance-sheet activities
4.12 Title XII – Improving Access to Mainstream Financial Institutions
4.13 Title XIII – Pay It Back Act
4.14 Title XIV – Mortgage Reform and Anti-Predatory Lending Act
4.14.1 Subtitle A – Residential Mortgage Loan Organization Standards
4.14.2 Subtitle B – Minimum Standards for Mortgages
4.14.3 Subtitle C – High-Cost Mortgages
4.14.4 Subtitle D – Office of Housing Counseling
4.14.5 Subtitle E – Mortgage Servicing
4.14.6 Subtitle F – Appraisal Activities
4.14.7 Subtitle G – Mortgage Resolution and Modification
4.14.8 Subtitle H – Miscellaneous Provisions
4.15 Title XV – Miscellaneous Provisions
4.15.1 Restriction on U.S. approval of loans issued by International Monetary Fund
4.15.2 Disclosures on conflict materials in or near the Democratic Republic of the Congo
4.15.3 Reporting on mine safety
4.15.4 Reporting on payments by oil, gas and minerals industries for acquisition of licenses
4.15.5 Study on effectiveness of inspectors general
4.15.6 Study on core deposits and brokered deposits
4.16 Title XVI – Section 1256 Contracts
5 Impact and reaction
5.1 Legislative reaction
5.2 Industry and other groups
5.3 Congressional Budget Office
5.4 Job creation
5.5 Effects on small banks
5.6 Corporate governance issues and U.S. public corporations
6 Constitutional challenge to Dodd–Frank
7 Financial Choice Act
8 See also
9 Notes
10 External links

So do I, whats your point

That's not exactly fact Swish.

During the clinton adminstration, there was a push by banks and other lending institutions to offer loans without all the normal and IMO necessary documentation that was required.

Bill Clinton in all his wisdom, backed those efforts and he was wrong to do so.

Republicans and Democrats alike didn't do a thing to correct it but Republicans were quick to point out that it was a Democratic president that signed off on it.

Yet, once Bush was elected, you didn't see one thing done to correct it by him or the Republicans.

All that time, Banks were making money hand over fist, at least on paper. I have no problem with any business making money by the way. When the bottom fell out in 2005 and 2006, The Republicans blamed Clinton but nobody blamed the banks.

Those in the top spots of the investment banking industry got their golden parachutes and danced away from the mess they created.

Some small banks were caught up in the mess, most weren't. My old bank, First Merit, was a terrific bank. Very profitable but in the grand scheme of things, were very cautious when giving loans out. They followed all the rules that were in place before they were relaxed.

Recently, First Merit was purchased by Huntington. They weren't hindered by Dodd Frank. They were sold to Huntington for the profit that the shareholders could make.

Nobody should make blanket statements that big banks are buying out small banks and it's because of Dodd Frank. M&A in the banking industry has been going on Long before Dodd Frank.

What caused the economy to tank was pure GREED.

I wouldn't call National City a small bank, I wouldn't call Ohio Savings a small bank, yet they were caught up in the mess by being too loose with lending requirements..

They made their own mess.

But most small banks were just fine as long as they followed the old rules.

I dint make that statement about big banks buying smaller banks.

I simply made the comment that small community banks also handed out loans to people who had no business getting them. Even if some were a tad bit more cautious than others.

How long do you think you'd survive if your expenses were increased 25%? This is what it cost small banks to be compliant to Dodd

That was a SMALL part of the problem. The bigger issue was the type of mortgages written and the over valued appraisal to support the loan. I seen 100's of mortgages that were adjustable rate interest only starting at 6%. What a garbage loan. They had low payments the 1st 2 years and when they'd adjust the homeowner could no longer afford the payments. That's where the term predatory lending came from. The homeowner was set up to fail.



Bull. Dodd Frank was designed to increase capital requirements so banks didn't over leverage. The problem was that dozens of compliance commissions were created and caused confusion among each one. The right hand didn't know what the left was doing. Small banks couldn't absorb the cost to stay compliant.

http://www.mainstgrowth.com/bloomberg-article-highlights-whats-wrong-with-dodd-frank/

Regulation, not actual business needs, is driving consolidation in banking.

I saw people getting home loans that I wouldn't trust loaning $20 to until they got paid. That's when you know something is seriously wrong.

Damn! I was just about to ask you for $20 bucks!

Exactly.

But, congress changed the requirements so that "everyone can own a home, regardless of income or ability to repay the loan."

Can you please show us where and when congress changed these requirements?

I can't find it unless your talking about this....
"Housing and Community Development Act of 1977"


Or maybe a HUD thingy.

Yea I tried to google search that quote, couldn't find anything.

First, the 1999 repeal of Glass-Steagall by the Gramm-Leach-Bliley Act. This allowed banks to use deposits to invest in derivatives. Banking lobbyists said they couldn’t compete with foreign firms, and that they would only go into low risk securities, reducing risk for their customers.

Second, the 2000 Commodity Futures Modernization Act allowed the unregulated trading of derivatives and other credit default swaps. This federal legislation overruled the state laws that had formerly prohibited this as gambling.

https://www.thebalance.com/community-reinvestment-act-3305681

There are other links as well, you just need to read in depth.

Boy what a mess those things turned out to be!

I wish I actually knew which parts of Dodd Frank that they were trying to overturn. Without being sure of that it's hard to tell if it's a good thing or a bad thing.