The Community Reinvestment Act of 1977 hereafter referred to as the CRA is blamed by Republicans as the source of the crisis and it was disingenuous of Congressman Mike Fitzpatrick to place blame there citing Jimmy Carter. The CRA of 1977 ended the practice of redlining by lenders that was defined as drawing a red line around a neighborhood and refusing to lend money to anyone within. The banks took the money from depositors in those neighborhoods and used it for other borrowers and investments but not for the community where it came from.
The Big Banks redlining poor and middle class communities. They were killing property values, jobs, and small business.
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