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I believe if you look back that it was the Bush Administration that asked Congress to check on Freddie Mae and Freddie Mac concerning their lending practices. But since it was Congress that told FM and FM to make the loans to people who were not qualified, they declined to do so. Sen. Barney Frank was the one in charge of that committee and refused to closely monitor FM and FM mainly because they were doing exactly what he told them to do.
The Bush Admin should have gotten the GAO to do it anyway, however.
However, the main problem was human greed by people who knew they should not be buying a house that big and that expensive. We fell into the same trap in the 80's. Why the practice was not stopped back then is beyond me.
Mortgage payments increased because brokers sold loans that were packaged into "stocks."
All these families were told in fairness that they might be charged higher interest if the economy changed HOWEVER none of these families were told in total fairness—none of them---- that these mortgage companies would package all their mortgages up and turn them into stock and let people bid on them. Often doubling the mortgage payments. They thought it was a bird's nest on the ground and that housing would go up in price as it usually does.
Its NOT ALL about Freddie-Mae & Freddie Mac----they are only a small portion of the crisis. I know you righties keep bringing that up---cause you want to put the blame on the previous decade of Bill Clinton and democrats but its not possible.