Microbanking for California?

Microbanking for California?

http://biz.yahoo.com/ap/080320/credit_crunch_lending.html

begin quote:"The entire states of California, Florida, Arizona, Michigan, Ohio and Nevada -- which have seen the highest foreclosure rates and the worst price declines -- are blackballed on some mortgage insurers' lists. endquotes.

Since loans from most banks aren't issued without Mortgage insurance it may be necessary for microbanking groups of Californians or any other state targeted by Mortgage insurers to bring back loans for Californians so they can buy houses here.

Microbanking could be organized by people who already own their homes outright or who are conservative investors. If groups of these people got together say for example through their churches then they might actually know the people that say 10 or more of them together could loan money to buy a house. In this way we could survive our state or your state being blackballed in regard to mortgage insurance.