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Anonymous
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With the world (and GW) finally realizing the seriousness of the economic crisis the scuttlebutt on the webs have been that now GW will propose a taxpayer funded bailout to handle his bumbling and bungling that caused the crisis in the first place...
Not only is the rate of foreclosures rising drastically- but with so many homes being greatly devalued, many are just letting the foreclosures go thru since putting any more money in is like sticking it down the drain...
The main driving force behind this bailout is that all the Munincipal Bond insurers are going broke- thereby endangering the ability of many cities, counties, states, and schools to operate....
Before GW gets out of office we'll go from talking Trillions in debt to Zillions :???:
Not only is the rate of foreclosures rising drastically- but with so many homes being greatly devalued, many are just letting the foreclosures go thru since putting any more money in is like sticking it down the drain...
The main driving force behind this bailout is that all the Munincipal Bond insurers are going broke- thereby endangering the ability of many cities, counties, states, and schools to operate....
Before GW gets out of office we'll go from talking Trillions in debt to Zillions :???:
Breaking News from MoneyNews.com
A Taxpayer Bailout for Borrowers?
The U.K. government announced over last weekend that it is taking over troubled mortgage lender Northern Rock.
This move comes after the German government promised to spend more than 1 billion euros ($1.47 billion) to save small-business lender IKB Deutsche Industriebank, the first European casualty of the U.S. subprime-mortgage meltdown.
Does this mean the U.S. is next? And will taxpayers end up paying for the bailout of major financial institutions in our country?
Reprinted from MoneyNews.com
'Semi-Bailout' Already in the Works
Thursday, Feb. 21, 2008 5:25 p.m. EST
WASHINGTON -- The U.S. Treasury Department is studying a new regulatory proposal aimed at prodding servicers to help homeowners facing foreclosure to refinance their mortgages, the department's undersecretary, Bob Steel, said on Thursday.
The program would create "negative equity certificates" that would in the long term help servicers recoup losses from refinancing a mortgage when a home's value has dropped.
The proposal, being developed by the Office of Thrift Supervision (OTS), would operate along with other Bush administration programs to modify mortgages provided to borrowers with poor credit histories and who are about to lose their homes.
"We're just learning about it," Steel said at the Reuters Housing Summit. "I spoke to Mr. (OTS Director John) Reich last night. I think they're still working out the details too."
"But it's more ideas," Steel said. "Other ideas from other people is a good thing."
The OTS regulates the thrift industry, which is largely comprised of mortgage lenders ranging from small, locally-owned institutions to big companies such as Countrywide Financial Corp and Washington Mutual Inc.
The proposed program is in its early stages and comes at a time when officials fear an increasing number of people would rather just walk away from homes which have seen values fall during the U.S. housing and financial turmoil.
If implemented, the program, possibly with Federal Home Administration assistance, would apply to all mortgages but it appears it would mainly focus on subprime loans.
It would not necessarily guarantee a full repayment to the servicer because the value of the certificates could be publicly traded and fluctuate with home prices, OTS officials have said.