Lenders don't want responsibility or risk...

The Dodd-Frank financial initiative passed this summer requires lenders to own 5% of loans that they sell off to investors.  The hope is that by keeping the lenders financially tied to these loans we can hopefully avoid the mortgage meltdown mess again.

Of course the lenders are now looking for a way out of this regulation.  They want exemptions and lots of them...they want to be able to fund loans, sell them off, and not have to worry afterwards.

Well, that's exactly why we're in the mess we're in and exactly why this initiative was passed!!!!  To keep these greedy banks from lending to weak borrowers when they know they can "pass-the-buck" to their investor and then wipe their hands clean of whatever happens.

It will be interesting to see what the regulators do -- hopefully it will be the right thing!!