Community Reinvestment Act
The CRA was originally enacted under President Jimmy Carter in 1977. The Act was set in place to encourage banks to halt the practice of lending discrimination. There is debate among economists regarding the effect of the CRA, with detractors claiming it encourages lending to uncreditworthy consumers and defenders claiming a thirty-year history of lending without increased risk.
Read more about this topic: Government Policies And The Subprime Mortgage Crisis
Famous quotes containing the words community and/or act:
“I do not mean to imply that the good old days were perfect. But the institutions and structure—the web—of society needed reform, not demolition. To have cut the institutional and community strands without replacing them with new ones proved to be a form of abuse to one generation and to the next. For so many Americans, the tragedy was not in dreaming that life could be better; the tragedy was that the dreaming ended.”
—Richard Louv (20th century)
“The last act is bloody, however pleasant all the rest of the play is: a little earth is thrown at last upon our head, and that is the end forever.”
—Blaise Pascal (1623–1662)