Actually this is a pretty good idea. Unfortunately, since the bankers are in bed with the Fed it's unlikely this will see the light of day. Now, if there were restrictions on when lenders can sell their loans - effectively locking in the originating lenders for a certain period of time, that would have them think twice on who they approve for a loan. But then the bankers will say the "lock-in" is "unfair". The "lock-in" - isn't that exactly what the bankers do when they impose pre-payment penalties on borrowers? Hmmmmm. . . . . . . . .
Full Article: Citi, BofA prove too big to punish harshly