Because using political pressure to push banks to make mortgage loans to people who cannot afford them while giving them a wink and a nod that they would soak the risks into Fannie and Freddie worked so well the first time…

Remember NINJA loans?

No income, no job or assets?

No problem.

Just come on down to Crazy Hussein’s Government Motors Car Lot.

Ed Driscoll notes:

Play the tape machine, make the toast and tea, we’re goin’ mobile — with another potential subprime loan bubble: “The Obama administration is pushing banks to make car loans to people with poor credit ratings,” Jim Hoft writes at Gateway Pundit, linking to a Reuters piece that notes:

In its efforts to jumpstart the economy, the U.S. central bank has undertaken since November 2008 three rounds of bond-buying and cut short-term interest rates effectively to zero.The purchases of mostly Treasury and mortgage securities – known as quantitative easing and nicknamed QE1, QE2 and QE3 – have injected trillions of dollars into the financial system.

I guess they have decided that they have to move all those shitty GM cars.

Caveat Emptor. Let the buyer beware.

It is all a racket to bankrupt the credit system in America so that the lender of last resort, the government, is the lender of only resort. Just like the plan is with healthcare, the game is to cock up everything so terribly that the only “too big to fail” entity that remains standing is the only one with the power to create money out of thin air, the US government.