Put consumers, small businesses first in financial reform

Re: 'Borrowers look like IEDS to Lenders' (June 4)

Dear Editor:

After reading a couple of articles: "Would you walk away" on June 3 and "Borrowers look like IEDS to lenders" on June 4 over the past week on the Inman News site, I felt compelled to write.

In the first article, the writer laments the plight and irony of a potential client who is in default on his home loan. In the second story, the writer speaks about the lack of credit in the housing market, and how it is affecting the housing recovery. Both stories emanate from the same place: Wall Street.

The person in the first story bought a home at the height of the real estate market. The subsequent economic meltdown, along with changes in personal life, had left him struggling to meet his financial obligation. The irony in this story is that it was the greed of the "Wall Streeters" that led to the maddening real estate frenzy and the ensuing meltdown of the real estate market -- the very same Wall Streeters who received taxpayer bailouts are now not willing to work in good faith to help this homeowner (and thousands like him).

In the second story, we see that although interest rates are at historical lows, the lenders are overly cautious or unwilling to make loans. But again, it is the same Wall Streeters who benefited from taxpayer bailouts and now low-interest loans from the Fed and who are restraining economic growth for small businesses and purchases for potential homeowners.

Already, the reform legislation aimed at the practices that led to toxic loans, derivatives and general lack of institutional control on Wall Street are being "watered" down as a result of lobbyist influence.

This isn't the only issue facing our country while we attempt to recover from the worst economic crisis since the Great Depression, 17 percent under/unemployment and a huge deficit, to name a few other issues. Until our representatives in Washington have the fortitude to stand up to the corporate lobbyists and enact rules and regulations that level the playing field for the consumer and small business, we will not be able to see a meaningful economic recovery.

Nick Chucales
NMC Consultants
Westerville, Ohio

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