Once again we’re closing the barn door after the horse is out and gone. In Washington, the Federal Reserve has finally acted to stop some of the predatory lending that exploited people’s need for money. And like Rip Van Winkle, Congress is finally waking up from a long doze under the warm sun of free market economics. But it’s waking to a nightmare.
Meanwhile, the Feds’ clamp-down on predatory lending has come too late for millions of Americans who have already lost their homes. The pain for them is real. They’re hurting badly, and so are their communities. You can see the whole picture in one neighborhood in Cleveland, Ohio. Producer Peter Meryash and correspondent Rick Karr take us there.
PBS, July 18, 2008