A Solution to Bad Banking

I know there are a lot of lenders on this site, if you agree, take this idea to those in charge. 

There seems to be a couple of bad boys on the block.  This is true in any business, just as it is true in any class room.  There is always a minority group who seems to think it is their place in life to ignore the rules, which make life miserable for everyone else.  This pretty much describes the lending industry.  A few bad apples are spoiling the whole barrel.  In this case the barrel turned out to be the world economy. 

What are these bad apples doing to turn the economy around?  Absolutely NOTHING!  Agents attempting to work with these companies can testify to this fact.  They are supposed to be selling these toxic assets, it seems they have decided to get a better deal by sticking the American tax payer with their bad investments. 

Correcting bad behavior has always been a challenge.  The government has already tried the reward system.  Any teacher will tell you, if you attempt to bribe students with candy, it will never work,  They will act out worse than before to get more candy.  This creates a viscous cycle.  When people are bad, they have a completely different mode of learning.  They will always perceive everything on a different level than rational human beings. 

One solution to this problem is to have the banks and other lending institutions police themselves.  If Real Estate Agents and the Nursing profession can do it, why not lenders?  Following is a list of details to consider.

Create a code of ethics. 

Create a method of enforcement.

Create a symbol identifying members. 

Advertise to educate the public.

Learn form a proven model, the NAR. 

I am sure the NAR will do everything they can to guide lenders and help them establish an institution which will help gain and maintain the trust of the public.  The vast majority of lenders are great, honest and helpful institutions.  It is a shame a small minority has received all the news and has been allowed to operate in such a manner as to cause such problems.  The question is, how to avoid this matter in the future.