Since the housing collapse a few years ago, the federal government and the finance industry imposed tougher lending standards. To show how hard it is to get a mortgage, former Federal Reserve Chair Ben Bernanke conceded that he has been having difficulties refinancing his home.
Helicopter Ben spoke to an audience in Chicago on Thursday at even sponsored by the National Investment Center for Senior Housing and Care. When asked a question by economist Mark Zandi, Bernanke responded: “I recently tried to refinance my mortgage and I was unsuccessful in doing so.” He added after the audience chuckled: “I’m not making that up.”
Bernanke didn’t provide any reasons as to why he was rejected. Perhaps the person in charge at the bank despised Bernanke. Maybe a neutral computer algorithm rejected his claim. Or it was as simple as the bank didn’t know who he was (which is doubtful).
Despite being the most powerful man in the United States from 2006 until the beginning of this year and now making an enormous sum of money in the speaking circuit, even Mr. Inflation couldn’t refinance his home.
Easy home lending standards was a contributing factor to the housing bubble, which was inflated by former Fed Chair Alan Greenspan and Bernanke. This, of course, produced the biggest financial meltdown since the Great Depression and new requirements to obtain a mortgage.
However, Bernanke believes that the new revisions to the mortgage market “may have gone a little bit too far on mortgage credit conditions.”
It is estimated that Bernanke maintains a net worth of $2 million, according to The Richest. Last year, he earned $130,000 and his assets are valued at more than $1.5 million.
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