Remember the financial crisis of 2008, when the housing market was a disaster with evictions and foreclosures, and unemployment zoomed to “massive?” Back then even large banking institutions were bailed out by Washington, car companies were on the brink of dissolving and stock markets plummeted?
Right, that economic disaster.
Well, things are much better these days, at least according to the Obama administration. Americans are regularly reassured that millions of new jobs have been created, unemployment is dropping and the stock market has largely been up.
But a new documentary film project is warning that Americans should watch out, because there’s going to be another collapse.
Oh, maybe not exactly the same way, but it’s going to hurt most consumers in America, especially those who are not extremely wealthy, according to a planned project called “Subprime 2.0: Doubling Down on Disaster,” which currently is raising funding on the Indiegogo funding site.
The film is “a warning there is a new and probably worse financial crisis in the making that will hit sometime in the future,” said Compass Films of New York director Cornelia Mrose in an interview with WND.
According to a promotion video created for the product, journalist and author Paul Sperry is working with Mrose on “Subprime 2.0.”
Sperry explains that Americans largely believe what they’ve told by politicians, community organizers and the media that the 2008 collapse was because of “greedy bankers and deregulation.”
Politely, he explains that’s bunk.
It was, rather, because of a social agenda spun out of Washington that demanded regulators ignore things like credit worthiness, credit history and even the ability to pay in order to get minorities into housing they never could afford.
The result? No logical repayment plan, and a collapse of the housing and lending markets.
The video reports that Peter Wallison, of the Financial Crisis Inquiry Commission, noted not many people really understand that the banks were “forced by the government to ignore credit risk.”
In fact, Mrose said, 10 government agencies were handed the responsibility of getting loans out to people who realistically had no hope of repaying them.
No job, bad credit, no assets? suggested Sperry, no problem.
The issue is that the same scenario is developing now. Again.
One of the ominous signs, Mrose told WND, is that federal regulators are now allowing home loans with no more than 3 percent down. And combined with other federal benefit programs, some people are getting home mortgages “without any down payment whatsoever.”
“This is incredibly dangerous,” she said. “When you consider the financial meltdown not even seven years ago, it’s mindboggling that we are going down the same route again.”
“In the long term, all of us are going to be the losers,” she warned.
The documentary intends to expose “the true causes of the financial crisis and warns that the same political culprits are using it to justify policies that are pushing America into the next and even greater crisis.”
And now, the filmmakers point out, the U.S. government effectively is turning mortgage giants Fannie Mae and Freddie Mac into welfare agencies.
It also is degrading the consumer credit standards used in virtually every financial transaction in America.
Likewise, it is shaking down banks and forcing them into settlements that will pay out huge amounts of money to favored activist groups, including ACORN front groups.
And the government is letting loose a frighteningly powerful new regulatory agency – the Consumer Financial Protection Bureau, created from Obama’s “financial reforms” – on the entire financial sector, even though it is unaccountable to the American people, has no oversight and is not dependent on Congress for funds.
Said former BB&T bank CEO John Allison, “We treated the financial crisis as if it were deregulation that caused it. Well, it wasn’t deregulation that caused the financial crisis. The financial industry is the most regulated industry in the world … It was government policy, specifically errors by the Federal Reserve and Freddie Mac and Fannie Mae, the subprime lending policy that created the financial crisis.”
He joins in warning, “We’re doing it again.”
Compass has launched an outreach through Indiegogo.com, one of the most popular and trusted crowdfunding sites in the world.
The goal is to raise $150,000 for the production of the film which the filmmakers hope to show in theaters nationwide during the summer of 2016 to challenge the false narrative created by government.
The film project leaders say, “There are many powerful people in Washington who do NOT want this story told. So it needs your help.”
According to the website, “‘Subprime 2.0’ tells the story of what should be one of the great political scandals of our time: how the government’s crusade against alleged lending racism wiped out $14 trillion in household wealth, how politicians and community activists then blamed private lenders for the monumental crisis that they had created and how it’s all starting again.”
Compass Films of New York is based in Westchester County, New York. Its motto is “Navigating to a Freer America.” Compass Films was founded by Cornelia Mrose, producer of Subprime 2.0 and co-host of the Steve Mayo Show on WVOX 1460AM. Co-producers include Paul Sperry, an Investor’s Business Daily veteran, Hoover Institution media fellow, former WND Washington bureau chief, and author of several books, including “The Great American Bank Robbery: The Unauthorized Report about What Really Caused the Great Recession.”