On Joe Biden’s official website, he mentions setting up a public credit reporting agency run by the federal government. In doing so he links to the Demos.org website and their “Signature Policy” which is to create this government-run credit registry. They and Biden claim that creating this extra agency it will solve racial wealth inequality, yet every government agency and program which has attempted to do so has failed. Demos.org also states it would like to see the government-run credit registry eliminate the private credit reporting companies.
While the current for-profit credit reporting system has its flaws, there is no credible evidence to suggest these companies are actively giving lower FICO or Vantage scores based on the color of one’s skin or gender. That fact has not stopped propaganda stating that lower scores of blacks and Latinos are intentional. Credit reporting bureaus have created mathematical algorithms to determine how one has handled their credit and attempt to predict how one may handle given credit in the future. While Biden and Demos.org would like people to identify their skin color and gender for credit reporting purposes, the current system ignores those factors. It would seem Demos.org and Biden’s approach is opposite of Dr. Martin Luther King, Jr.’s message of not judging people “by the color of their skin, but by the content of their character.”
It would appear from Biden’s statements and his website he wants most, if not all, Americans to own their own home. While it is a lofty and noble goal, we saw what happened during the Clinton Administration, how such goals end, and it isn’t pretty. Biden seems to want to move in a similar direction rather than allow the free market reign, he wants the opposite – having as much government intrusion into the housing market as possible. Biden would like to spend $64 billion of taxpayer money each year “so every American has access to housing that is affordable, stable, safe and healthy, accessible, energy efficient and resilient, and located near good schools and with a reasonable commute to their jobs.” Sounds great until you see how he would like to make that happen.
If one’s purchase of a home would compromise over 30 percent of one’s income, then the federal taxpayer would step in and lend a helping hand to keep the cost at or below that 30 percent threshold.
A lot of what he says he wants to do has already been done. For example, Biden states he wants to “include a law prohibiting landlords from discriminating against renters receiving federal housing benefits,” when such discrimination rules already exists.
Biden’s long list of regulations he would like to enact would cause such a myriad of red tape for landlords, mortgage brokers, and home sellers, that it would stifle those wanting to be in that business and thereby limit the supply of housing to the very people Biden is looking to help.