128 relations: Adjustable-rate mortgage, Adverse selection, Alan Cranston, Arizona, Asset–liability mismatch, Baby boom, Bank holiday, Bankruptcy, Boston University, Building society, C-SPAN, California, Certificate of deposit, Charles Keating, Charter, Cincinnati, Conflict of interest, Conspiracy (criminal), Control fraud, Cottage Savings Ass'n v. Commissioner, Countdown to Extinction, David Ellefson, David R. Henderson, Democratic Party (United States), Dennis DeConcini, Depository Institutions Deregulation and Monetary Control Act, Deregulation, Dick Celeste, Discount window, Disintermediation, Dollars & Sense, Donald Riegle, Dwight D. Eisenhower, Early 1980s recession in the United States, Early 1990s recession, East Coast of the United States, Economic Recovery Tax Act of 1981, Fannie Mae, Federal Deposit Insurance Corporation, Federal Home Loan Bank Board, Federal Home Loan Banks, Federal Housing Finance Board, Federal Reserve System, Federal Savings and Loan Insurance Corporation, Financial crisis, Financial Institutions Reform, Recovery, and Enforcement Act of 1989, Fixed-rate mortgage, Forbearance, Fractional-reserve banking, Franklin D. Roosevelt, ..., Fraud, Freddie Mac, Garn–St. Germain Depository Institutions Act, George H. W. Bush, Government Accountability Office, Government National Mortgage Association, Great Depression, Great Society, High-yield debt, Home State Savings Bank, Inflation, Interstate Highway System, Jim Wright, Jimmy Carter, John Glenn, John McCain, Keating Five, L. William Seidman, Liar's Poker, Liberty Fund, Lincoln Savings and Loan Association, List of corporate collapses and scandals, List of largest U.S. bank failures, Los Angeles Times, Louisiana, Lyndon B. Johnson, Mail and wire fraud, Maryland, Megadeth, Michael Lewis, Michael Milken, Michigan, Midwest Federal Savings & Loan, Midwestern United States, Minneapolis, Minnesota, Monetary inflation, Moral hazard, Mortgage loan, Negotiable order of withdrawal account, Neil Bush, New Deal, Office of Thrift Supervision, Ohio, Oklahoma, Old Court Savings and Loans, Panic of 1893, Paul Volcker, Race to the bottom, Racket (crime), Regulation Q, Republican Party (United States), Resolution Trust Corporation, Salary, Savings and loan association, Second Industrial Revolution, St. Paul Pioneer Press, Stagflation, Subprime mortgage crisis, Supreme Court of the United States, Tax, Tax Reform Act of 1986, Texas, The Arizona Republic, The Washington Post, United States Congress, United States Department of the Treasury, United States House Committee on Ethics, United States Senate Select Committee on Ethics, United States v. Winstar Corp., Vice President of the United States, Vietnam War, Wall Street Crash of 1929, William K. Black, World War II, Zvi Bodie, 1980s oil glut, 97th United States Congress. Expand index (78 more) » « Shrink index
A variable-rate mortgage, adjustable-rate mortgage (ARM), or tracker mortgage is a mortgage loan with the interest rate on the note periodically adjusted based on an index which reflects the cost to the lender of borrowing on the credit markets.
Adverse selection is a term commonly used in economics, insurance, and risk management that describes a situation where market participation is affected by asymmetric information.
Alan MacGregor Cranston (June 19, 1914 – December 31, 2000) was an American politician, journalist and world federalist who served as a United States Senator from California, from 1969 to 1993.
Arizona (Hoozdo Hahoodzo; Alĭ ṣonak) is a U.S. state in the southwestern region of the United States.
In finance, an asset–liability mismatch occurs when the financial terms of an institution's assets and liabilities do not correspond.
A baby boom is a period marked by a significant increase of birth rate.
A bank holiday is a public holiday in the United Kingdom, some Commonwealth countries, Hong Kong and the Republic of Ireland.
Bankruptcy is a legal status of a person or other entity that cannot repay debts to creditors.
Boston University (commonly referred to as BU) is a private, non-profit, research university in Boston, Massachusetts.
A building society is a financial institution owned by its members as a mutual organization.
C-SPAN, an acronym for Cable-Satellite Public Affairs Network, is an American cable and satellite television network that was created in 1979 by the cable television industry as a public service.
California is a state in the Pacific Region of the United States.
A certificate of deposit (CD) is a time deposit, a financial product commonly sold in the United States and elsewhere by banks, thrift institutions, and credit unions.
Charles Humphrey Keating Jr. (December 4, 1923 – March 31, 2014) was an American athlete, lawyer, real estate developer, banker, financier, and activist best known for his role in the savings and loan scandal of the late 1980s.
A charter is the grant of authority or rights, stating that the granter formally recognizes the prerogative of the recipient to exercise the rights specified.
A conflict of interest (COI) is a situation in which a person or organization is involved in multiple interests, financial or otherwise, and serving one interest could involve working against another.
In criminal law, a conspiracy is an agreement between two or more persons to commit a crime at some time in the future.
Control fraud occurs when a trusted person in a high position of responsibility in a company, corporation, or state subverts the organization and engages in extensive fraud for personal gain.
Cottage Savings Association v. Commissioner,, was an income tax case before the Supreme Court of the United States.
Countdown to Extinction is the fifth studio album by American thrash metal band Megadeth, released on July 14, 1992, through Capitol Records.
David Warren Ellefson (born November 12, 1964) is an American bassist, co-founder and second-longest serving member of the American heavy metal band Megadeth from 1983 to 2002 and again from 2010.
David R. Henderson (born November 21, 1950) is a Canadian-born American economist and author who moved to the United States in 1972 and became a U.S. citizen in 1986, serving on President Ronald Reagan’s Council of Economic Advisers from 1982 to 1984.
The Democratic Party is one of the two major contemporary political parties in the United States, along with the Republican Party (nicknamed the GOP for Grand Old Party).
Dennis Webster DeConcini (born May 8, 1937) is an American lawyer, philanthropist, politician and former Democratic U.S. Senator from Arizona.
The Depository Institutions Deregulation and Monetary Control Act of 1980 (often abbreviated DIDMCA or MCA) is a United States federal financial statute passed in 1980 and signed by President Jimmy Carter on March 31.
Deregulation is the process of removing or reducing state regulations, typically in the economic sphere.
Richard Frank "Dick" Celeste (born November 11, 1937) is an American former diplomat, university administrator and politician from Ohio, he is a member of the Democratic Party and served as the 64th Governor of Ohio from 1983 to 1991.
The discount window is an instrument of monetary policy (usually controlled by central banks) that allows eligible institutions to borrow money from the central bank, usually on a short-term basis, to meet temporary shortages of liquidity caused by internal or external disruptions.
Disintermediation is the removal of intermediaries in economics from a supply chain, or cutting out the middlemen in connection with a transaction or a series of transactions.
Dollars & Sense is a magazine focusing on economics from a progressive perspective, published by Dollars & Sense, Inc, which also publishes textbooks in the same genre.
Donald Wayne Riegle Jr. (born February 4, 1938) is an American politician, author and businessman from Michigan, who served for five terms as a Representative and for three terms as a Senator in the U.S. Congress.
Dwight David "Ike" Eisenhower (October 14, 1890 – March 28, 1969) was an American army general and statesman who served as the 34th President of the United States from 1953 to 1961.
The United States entered recession in January 1980 and returned to growth six months later in July 1980.
The early 1990s recession describes the period of economic downturn affecting much of the Western world in the early 1990s.
The East Coast of the United States is the coastline along which the Eastern United States meets the North Atlantic Ocean.
The Economic Recovery Tax Act of 1981, also known as the ERTA or "Kemp–Roth Tax Cut", was a federal law enacted in the United States in 1981.
The Federal National Mortgage Association (FNMA), commonly known as Fannie Mae, is a United States government-sponsored enterprise (GSE) and, since 1968, a publicly traded company.
The Federal Deposit Insurance Corporation (FDIC) is a United States government corporation providing deposit insurance to depositors in U.S. commercial banks and savings institutions.
The Federal Home Loan Bank Board (FHLBB) was a board created in 1932 that oversaw the Federal Home Loan Banks (FHLB or FHLBanks) also created by the act.
The Federal Home Loan Banks (FHLBanks, or FHLBank System) are 11 U.S. government-sponsored banks that provide reliable liquidity to member financial institutions (not individuals) to support housing finance and community investment.
The Federal Housing Finance Board (FHFB) was an independent agency of the United States government established in 1989 in the aftermath of the savings and loan crisis to take over oversight of the Federal Home Loan Banks (FHLBs or FHLBanks) from the Federal Home Loan Bank Board (FHLBB), and was superseded by the Federal Housing Finance Agency (FHFA) in 2008.
The Federal Reserve System (also known as the Federal Reserve or simply the Fed) is the central banking system of the United States of America.
The Federal Savings and Loan Insurance Corporation (FSLIC) was an institution that administered deposit insurance for savings and loan institutions in the United States.
A financial crisis is any of a broad variety of situations in which some financial assets suddenly lose a large part of their nominal value.
The Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), is a United States federal law enacted in the wake of the savings and loan crisis of the 1980s.
A fixed-rate mortgage (FRM), often referred to as a "vanilla wafer" mortgage loan, is a fully amortizing mortgage loan where the interest rate on the note remains the same through the term of the loan, as opposed to loans where the interest rate may adjust or "float".
In the context of a mortgage process, forbearance is a special agreement between the lender and the borrower to delay a foreclosure.
Fractional-reserve banking is the practice whereby a bank accepts deposits, makes loans or investments, but is required to hold reserves equal to only a fraction of its deposit liabilities.
Franklin Delano Roosevelt Sr. (January 30, 1882 – April 12, 1945), often referred to by his initials FDR, was an American statesman and political leader who served as the 32nd President of the United States from 1933 until his death in 1945.
In law, fraud is deliberate deception to secure unfair or unlawful gain, or to deprive a victim of a legal right.
The Federal Home Loan Mortgage Corporation (FHLMC), known as Freddie Mac, is a public government-sponsored enterprise (GSE), headquartered in Tysons Corner, Virginia.
The Garn–St Germain Depository Institutions Act of 1982 (enacted October 15, 1982) is an Act of Congress that deregulated savings and loan associations and allowed banks to provide adjustable-rate mortgage loans.
George Herbert Walker Bush (born June 12, 1924) is an American politician who served as the 41st President of the United States from 1989 to 1993.
The Government Accountability Office (GAO) is a legislative branch government agency that provides auditing, evaluation, and investigative services for the United States Congress.
The Government National Mortgage Association (GNMA), or Ginnie Mae, was established in the United States in 1968 to promote home ownership.
The Great Depression was a severe worldwide economic depression that took place mostly during the 1930s, beginning in the United States.
The Great Society was a set of domestic programs in the United States launched by Democratic President Lyndon B. Johnson in 1964–65.
In finance, a high-yield bond (non-investment-grade bond, speculative-grade bond, or junk bond) is a bond that is rated below investment grade.
Home State Savings Bank was a Cincinnati, Ohio based savings and loan.
In economics, inflation is a sustained increase in price level of goods and services in an economy over a period of time.
The Dwight D. Eisenhower National System of Interstate and Defense Highways, commonly known as the Interstate Highway System, is a network of controlled-access highways that forms part of the National Highway System in the United States.
James Claude Wright Jr. (December 22, 1922 – May 6, 2015), usually known as Jim Wright, was an American politician who served as the 48th Speaker of the United States House of Representatives from 1987 to 1989.
James Earl Carter Jr. (born October 1, 1924) is an American politician who served as the 39th President of the United States from 1977 to 1981.
Colonel John Herschel Glenn Jr. (July 18, 1921 – December 8, 2016) was a United States Marine Corps aviator, engineer, astronaut, and United States Senator from Ohio.
John Sidney McCain III (born August 29, 1936) is an American politician serving as the senior United States Senator from Arizona, a seat he was first elected to in 1986.
Image:AlanCranston.jpg|Alan Cranston (D-CA) Image:Dennis DeConcini.jpg|Dennis DeConcini (D-AZ) File:John Glenn Low Res.jpg|John Glenn (D-OH) File:John McCain Official Other Version.jpg|John McCain (R-AZ) Image:Riegle2.jpg|Donald W. Riegle (D-MI) The Keating Five were five United States Senators accused of corruption in 1989, igniting a major political scandal as part of the larger Savings and Loan crisis of the late 1980s and early 1990s.
Lewis William Seidman (April 29, 1921 – May 13, 2009) was an American economist, financial commentator, and former head of the U.S. Federal Deposit Insurance Corporation, best known for his role in helping work to correct the Savings and Loan Crisis in the American financial sector from 1988-1991 as head of the related entity, the Resolution Trust Corporation.
Liar's Poker is a non-fiction, semi-autobiographical book by Michael Lewis describing the author's experiences as a bond salesman on Wall Street during the late 1980s.
Liberty Fund, Inc. is a nonprofit foundation headquartered in Indianapolis, Indiana which promulgates the libertarian views of its founder, Pierre F. Goodrich through publishing, conferences, and educational resources.
The Lincoln Savings and Loan Association of Irvine, California, was the financial institution at the heart of the Keating Five scandal during the 1980s savings and loan crisis.
A corporate collapse typically involves the insolvency or bankruptcy of a major business enterprise.
This is a list of the largest U.S. bank failures with respect to total assets under management at the time of the bank failure (banks with $1.0 billion or more in assets are listed here).
The Los Angeles Times is a daily newspaper which has been published in Los Angeles, California since 1881.
Louisiana is a state in the southeastern region of the United States.
Lyndon Baines Johnson (August 27, 1908January 22, 1973), often referred to by his initials LBJ, was an American politician who served as the 36th President of the United States from 1963 to 1969, assuming the office after having served as the 37th Vice President of the United States from 1961 to 1963.
In the United States, mail and wire fraud is any fraudulent scheme to intentionally deprive another of property or honest services via mail or wire communication.
Maryland is a state in the Mid-Atlantic region of the United States, bordering Virginia, West Virginia, and Washington, D.C. to its south and west; Pennsylvania to its north; and Delaware to its east.
Megadeth is an American heavy metal band from Los Angeles, California.
Michael Monroe Lewis (born October 15, 1960) is an American non-fiction author and financial journalist.
Michael Robert Milken (born July 4, 1946) is an American former financier and philanthropist.
Michigan is a state in the Great Lakes and Midwestern regions of the United States.
Midwest Federal Savings and Loan was an American bank headquartered in Minneapolis, Minnesota.
The Midwestern United States, also referred to as the American Midwest, Middle West, or simply the Midwest, is one of four census regions of the United States Census Bureau (also known as "Region 2").
Minneapolis is the county seat of Hennepin County, and the larger of the Twin Cities, the 16th-largest metropolitan area in the United States.
Minnesota is a state in the Upper Midwest and northern regions of the United States.
Monetary inflation is a sustained increase in the money supply of a country (or currency area).
In economics, moral hazard occurs when someone increases their exposure to risk when insured.
A mortgage loan, or simply mortgage, is used either by purchasers of real property to raise funds to buy real estate, or alternatively by existing property owners to raise funds for any purpose, while putting a lien on the property being mortgaged.
In the United States, a negotiable order of withdrawal account (NOW account) is a deposit account that pays interest, on which an unlimited number of checks may be written.
Neil Mallon Bush (born January 22, 1955) is an American businessman and investor.
The New Deal was a series of programs, public work projects, financial reforms and regulations enacted in the United States 1933-36, in response to the Great Depression.
The Office of Thrift Supervision (OTS) was a United States federal agency under the Department of the Treasury that chartered, supervised, and regulated all federally chartered and state-chartered savings banks and savings and loans associations.
Ohio is a Midwestern state in the Great Lakes region of the United States.
Oklahoma (Uukuhuúwa, Gahnawiyoˀgeh) is a state in the South Central region of the United States.
Old Court Savings and Loan (Old Court Thrift Savings) was a savings and loan association headquartered in Pikesville, Maryland, United States, that failed due to embezzlement by its president Jeffrey Levitt, which led to the failure of the state deposit insurance corporation.
The Panic of 1893 was a serious economic depression in the United States that began in 1893 and ended in 1897.
Paul Adolph Volcker Jr. (born September 5, 1927) is an American economist.
The race to the bottom is a socio-economic phrase which is used to describe government deregulation of the business environment, or reduction in tax rates, in order to attract or retain economic activity in their jurisdictions.
A racket is a planned or organized criminal act, usually in which the criminal act is a form of business or a way to earn illegal or extorted money regularly or briefly but repeatedly.
Regulation Q (12 CFR) is a Federal Reserve regulation which sets out capital requirements for banks in the United States.
The Republican Party, also referred to as the GOP (abbreviation for Grand Old Party), is one of the two major political parties in the United States, the other being its historic rival, the Democratic Party.
The Resolution Trust Corporation (RTC) was a U.S. government-owned asset management company run by Lewis William Seidman and charged with liquidating assets, primarily real estate-related assets such as mortgage loans, that had been assets of savings and loan associations (S&Ls) declared insolvent by the Office of Thrift Supervision (OTS) as a consequence of the savings and loan crisis of the 1980s.
A salary is a form of payment from an employer to an employee, which may be specified in an employment contract.
A savings and loan association (S&L), or thrift institution, is a financial institution that specializes in accepting savings, deposits, and making mortgage and other loans.
The Second Industrial Revolution, also known as the Technological Revolution, was a phase of rapid industrialization in the final third of the 19th century and the beginning of the 20th.
In economics, stagflation, a portmanteau of stagnation and inflation, is a situation in which the inflation rate is high, the economic growth rate slows, and unemployment remains steadily high.
The United States subprime mortgage crisis was a nationwide banking emergency, occurring between 2007 and 2010, that contributed to the U.S. recession of December 2007 – June 2009.
The Supreme Court of the United States (sometimes colloquially referred to by the acronym SCOTUS) is the highest federal court of the United States.
A tax (from the Latin taxo) is a mandatory financial charge or some other type of levy imposed upon a taxpayer (an individual or other legal entity) by a governmental organization in order to fund various public expenditures.
The U.S. Congress passed the Tax Reform Act of 1986 (TRA) to simplify the income tax code, broaden the tax base and eliminate many tax shelters.
Texas (Texas or Tejas) is the second largest state in the United States by both area and population.
The Arizona Republic is an American daily newspaper published in Phoenix.
The Washington Post is a major American daily newspaper founded on December 6, 1877.
The United States Congress is the bicameral legislature of the Federal government of the United States.
The Department of the Treasury (USDT) is an executive department and the treasury of the United States federal government.
The Committee on Ethics, often known simply as the Ethics Committee, is one of the committees of the United States House of Representatives.
The U.S. Senate Select Committee on Ethics is a select committee of the United States Senate charged with dealing with matters related to senatorial ethics.
United States v. Winstar Corp., 518 U.S. 839 (1996),.
The Vice President of the United States (informally referred to as VPOTUS, or Veep) is a constitutional officer in the legislative branch of the federal government of the United States as the President of the Senate under Article I, Section 3, Clause 4, of the United States Constitution, as well as the second highest executive branch officer, after the President of the United States.
The Vietnam War (Chiến tranh Việt Nam), also known as the Second Indochina War, and in Vietnam as the Resistance War Against America (Kháng chiến chống Mỹ) or simply the American War, was a conflict that occurred in Vietnam, Laos, and Cambodia from 1 November 1955 to the fall of Saigon on 30 April 1975.
The Wall Street Crash of 1929, also known as Black Tuesday (October 29), the Great Crash, or the Stock Market Crash of 1929, began on October 24, 1929 ("Black Thursday"), and was the most devastating stock market crash in the history of the United States, when taking into consideration the full extent and duration of its after effects.
William Kurt Black (born September 6, 1951) is an American lawyer, academic, author, and a former bank regulator.
World War II (often abbreviated to WWII or WW2), also known as the Second World War, was a global war that lasted from 1939 to 1945, although conflicts reflecting the ideological clash between what would become the Allied and Axis blocs began earlier.
Zvi Bodie (born April 27, 1943) is the Norman and Adele Barron Professor of Management at Boston University.
The 1980s oil glut was a serious surplus of crude oil caused by falling demand following the 1970s energy crisis.
The Ninety-seventh United States Congress was a meeting of the legislative branch of the United States federal government, composed of the United States Senate and the United States House of Representatives.
1980s Savings and Loan crisis, S & L crisis, S and L Crisis, S&L Crisis, S&L crisis, Saving and Loans Scandal, Savings & Loan Crisis, Savings and Loan Crisis, Savings and Loan crisis, Savings and Loan scandal, Savings and loan crisis of the late 1980s, Savings and loan scandal, US Savings and Loan Scandal.