Mortgage Meltdown Timeline

" Indeed it is in the meantime that we're looking back at history in a lot of ways to when trying to gauge how we got to the place where we are at the moment. And frankly a lot of viewers are asked and it's a similar things old and we asked around -- there. To go back in history take -- back a few years and trying to figure out how we got to where we are today. Let's switch to the mess right now."

" The Bush Administration raised red flag starting in April 2001 the -- to budget request declares that the size of mortgage giants Fannie Mae and Freddie Mac its quota potential problem. Because financial trouble and neither one of them could quote call a strong repercussions in financial markets. In 2003 the White House warning about Fannie and Freddie was upgraded to a systemic risk. They could spread beyond just the housing sector. In all of those three the Bush Administration was pushing congress hard. To create a new federal agency to regulate and supervise. Fannie and Freddie both government sponsored enterprises or GSE. So we need a strong. World class regulatory agency to oversee the prudential operations. Of the GSA's. And the safety. And the soundness of their financial activities but then Treasury Secretary snow was getting a lot of push back from -- ranking member and now chairman of the house financial services committee to democratic congressman Barney frank here Fannie -- And Freddie Mac. Are not any crises in fact franks said the federal government should be encouraging Fannie and Freddie to do more to get low income families into homes and he believed to many people had a sky is falling mentality."

" The more people. In my judgment exaggerate the threat of safety and -- the more people conjure -- the possibility of serious financial losses to the tribute which I do not see. I think we see entity that a fundamentally sound financially. And withstand some of the disaster scenarios and even if there were problems the federal -- doesn't bail amount but the more protected everything there. Then the less I think we see in terms of affordable housing."

" The legislation was blocked. In 2005 Fed chairman Alan Greenspan added his voice on Fannie and Freddie after many leaders admitted major accounting screw ups. Quote enabling these institutions to increase in size and they will once the crisis in their judgment passes. We are placing the total financial system of the future at a substantial risk. Adding later at another hearing on the topic. If we failed to strengthen GRC regulation. We increase the possibility of insolvency in crisis. But the two mortgage giants had staunch defenders democratic senator Charles Schumer said quote. I think Fannie and Freddie over the years have done an incredibly good job and aren't intrinsic part of making America the best housed people in the world. If you look over the last one -- whatever years they've done very very good job. I Senator John McCain cosponsored legislation pushing for regulation delivering a speech on the Senate floor in 2006. Quote for years I have been concerned about the regulatory structure that governs Fannie Mae and Freddie Mac. In the sheer magnitude of these companies in the role they play in the housing market the GICs need to be reformed without delay. Again Bret Baier reporting taken us back over history isn't that curious that's so interesting I -- it sounds like how many people of waiting it out over the past three years."

" I -- and -- hearing everybody's been cringing when he sees that sound -- that idea racist velvet buying it won't be a bailout it all up. --"