Or we can say it was predatory lenders who were going after people who had FHA loans since the 70s, and the thought of possibly saving some more money via subprime loan looked great especially when these people were living on a limited income.
The banks weren’t forced to give these people loans. The banks choose to work this way, cook their books, and S&P (which is a POS agency to begin with) gave these securities an AAA rating despite them knowing full well it will fail. Once again, it’s people, “working smarter, not harder” as Singh said, that caused this collapse. Those “smart” people are people who knew how to hide the bad, exaggerate the good, and exploit the ignorant for huge financial gains on the backs of the working class.
Again, why does wall st. and the financial sectors deserve time in and time out to be bailed out by the taxpayers, when in fact they are the ones that caused this?