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The Obama administration pushing lenders to make it easier for people with -- credit to obtain home loans Peter Barnes standing by in Washington.
With a new controversy coming out of Washington -- By -- that's right sources confirm that the Obama administration has launched a broad push to get mortgages to people -- with weaker.
Credit records to help them and the housing market is -- interest rates remain at record lows now critics worry this won't just revive the risky lending practices that helped to create the -- -- financial crisis but.
The administration according to the sources is working with the banks the Federal Housing Administration the Justice Department and other agencies.
To help people who want to buy a home and they may have a lower credit score right now.
But they still might be able to make a mortgage payment and that they can't qualify because banks are still being very cautious and -- with their lending.
It's very important.
For lenders to underwrite carefully and make sure that a person can't afford.
The -- across the entire term of -- -- -- This effort does nothing to change that.
All it does is loosen.
Up credit a little bit -- get -- some more people who can afford alone.
Unless we understand what caused the 2008 financial crisis we -- going to make the same mistake again.
And we are going to have some time in the future.
That kind of break down that we had in 2008.
Consumer advocate -- Gordon said the administration has just trying to get banks to look at other compensating factors in making loan decisions not look just get a person's credit score which might be -- but also at a home buyers' ability to pay now and or they can bring additional savings.
To -- to the table.
At a closing and put more equity -- -- -- into a home for example she estimates that.
He's got -- changes could help hundreds of thousands of more families.
Buy a home Cheryl in -- Peter the credit just sent you basically but this could mean another bail out if indeed he's -- again deep ball on their mortgages.
This guy and that Peter were also pointed out that the credit score is a very good indicator of whether or not a person will default -- if a person has a low credit score that's more reason.
You don't declaring bankruptcy going out and buying more homes -- Peter Barnes thank you very much good story Peter thank yep okay thanks well for more.
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