How HSBC’s example started the housing crisis

Before 2006, roughly 2 percent of subprime mortgages ended up in foreclosure, industry data show. But in the Long Beach Mortgage Loan Trust 2006-4, at least 44 percent of these mortgages ended up in foreclosure, according to an Investigative Fund analysis, with the help of RealtyTrac, a real-estate data company. What was the percentage at …

Consumer Financial Protection Agency passes, more HSBC pressure

By a vote of 39-29, mostly along party lines, the House Financial Services Committee approved a measure establishing a Consumer Financial Protection Agency to monitor mortgages, credit cards and other consumer financial products. Today we published twelve complaints about HSBC, many of which pertained to credit cards. Today’s passage of a Consumer Financial Protection Agency …