http://online.wsj.com/article/SB10001424052748704575019162391608940.html?mod=WSJ_WSJ_US_News_5
It appears that the long time over seer and proponent of Fannie Mae and Freddie Mac, Chairman of the House Financial Service Committee Barney Frank, has decided that both government run instituitons should now be abolished. This bit of news comes after a long history of blocking efforts to reform these quasi-governmental industries. So what is to be done with them?
"Frank's comments initially rippled through bond markets on concerns that the government might pull away from the mortgage market. Many believe that is unlikely and that any revamp would include continued government involvement. The government took over the companies in September 2008 as loan losses mounted. Some Republicans have argued that the companies should ultimately be reduced in size and privatized, while at other end of the spectrum, some analysts have recommended turning the companies into government agencies. But several industry groups and academics have suggested that the government is likely to continue playing at least some role in the future of the companies. One such report came from analysts at Stanford & Poor's this past week. Its hard for us to imagine how enough capital could be attracted to replace Fannie and Freddie with stand-alone private companies that would be able to offer low-cost funding for 30-year fixed-rate mortgages, the analysts wrote. Some analysts have argued that starting from scratch could create more problems than they would solve, in part because Fannie and Freddie own or guaranteed around half of the nations $11 trillion in home mortgages. "Blue sky ideas are great, but they take a long time to happen", said Mahesh Swaminathan, senior mortgage strategist at Credit Suisse, at a conference last month. "When you have $5 trillion of agency mortgages, you can't really orphan them." Mr. Frank, who did not elaborate on forthcoming recommendations, said last month that one possible revamp could merge some functions of Fannie and Freddie that overlap with the Federal Housing Administration into the government morgage-insurance agency. The Obama administration said it will weigh in on how to revamp the companies--and the entire housing-finance system--when it releases its budget next month. Republicans have increasingly critisized the administration for moving to overhaul the financial sector without spelling out plans for Freddie and Fannie."
No truer words have been spoken. While Obama and company are bashing banks for giving bonuses, whom are paying back or have paid back TARP money with interest to the American tax payer, there is nothing said about Fannie and Freddie which amount to money pits for the American tax payer. In fact, Obama recently approved base salaries of $900,000 plus $3.1 million in deferred payments, and another $2 million in bonuses for the CEO's of the failed mortgage giants freddie and Fannie. When asked if tax dollars should pay those bonuses or if they should be cancelled, Barney Frank responded that the bonuses were too high but nothing can be done now.
http://www.cnsnews.com/news/print/59848
What Frank and company has allowed to happen with Freddie and Fannie is criminal costing the tax payers untold trillions of dollars involving the banking inducstry and Wall Street. The bail out money that tax payers have poured into these two giants will not only never be payed back to the tax payers, unlike privately owned banks who pay back their TARP money, the money continues to pour into them with no end in sight. However, Obama and company has no problem with their outrageous bonuses given to their CEO's while slapping the hands of CEO's in the private sector who no longer need the tax payer to prop them up. Why?
Originally posted by whodeyGreat idea, but too simple??
I think the right should make a deal with the left. The right should surrender Bush, Cheney, and Rumsfeld to the left in return for Barney Frank, Chuck U Schumer, and Chris Dodd to be handed over to the right. Then off to the gallows!!
:-)
Originally posted by Hugh GlassI was wondering if we will see any justice regarding the credit crisis and the prime role that Fannie and Freddie played in it all. Here is an article about a Congressional report on Freddie and Fannie that basically says that they are the smoking gun for the whole credit crisis.
Great idea, but too simple??
:-)
http://cnsnews.com/news/print/50680
I lost hope after reading the article because of the Repuklican involvement. After all, the Dems would not go after them because the Dems won't eat their own, not even Harry Reid and Barney Frank. Here is what the Congressional report said regarding the Repuklicans participation in the whole mess.
"The report argues that lowered lending standards were the cause of the housing crisis and did not exempt the Republicans or the Bush Administration from blame. It said placing certain lending quotes for under served populations allowed both Democratic and Republican administrations to consistently make campaign promises to boost homeownership through governmental intervention in the market."
So what is the likelyhood of the Repuklicans going after the Dems when they may implicate themselves? It is akin to the Dems not wanting to go after "W" and Cheney regarding allegations about lying about going into Iraq. After all, they voted along side "W" to go to Iraq. The price to throw "W" to the wolves would mean possibly the same happening to them. I think that is one of the reasons those in Washington are for the most part untouchable. If you tear one man down it may provoke a domino effect, and that just would not be allowed.
Originally posted by whodeyShe (Pelosi) is driving the bus.
I was focusing on those involved in the Fannie/Freddie debacle. I'm not sure what degree Nancy was involved, but yea, it would be nice to see her gone as well.
Add reps Waters, Meeks, and Clay to the list as well.
This is the stuff that should be playing on CSPAN at election time.
Transparency.😉
Originally posted by monster truckWhy does it take till election time? In fact, somone like Barney Frank was having a homosexual affair with a high ranking executive who worked for Fannie and Freddie as he was "overseeing" them in addition to receiving campaign money from the two lending giants while declaring the entire time up to the credit crisis that they were "OK" financially. Of course, now we see them for what Fannie and Freddie are. They are nothing more than another failed attempt at an entitlement. Home ownership is NOT, or should not be considered, an entitlement. In addition, they are money pits. So do you not think they should be done away with? Should not everyone who had a hand in this debacle be thrown behind bars? No, no, no, we leave them in government as they make plans to create a new and improved government lending entitlement entity for those with low credit scores.
She (Pelosi) is driving the bus.
Add reps Waters, Meeks, and Clay to the list as well.
This is the stuff that should be playing on CSPAN at election time.
Transparency.😉
Originally posted by whodeyPersonally, I'd have that info rolling 24/7 exposing the perps on both sides of the aisle, but it seems most voters are so apathetic that they only have time for the issues at election time.
Why does it take till election time? In fact, somone like Barney Frank was having a homosexual affair with a high ranking executive who worked for Fannie and Freddie as he was "overseeing" them in addition to receiving campaign money from the two lending giants while declaring the entire time up to the credit crisis that they were "OK" financially. Of cours ...[text shortened]... e a new and improved government lending entitlement entity for those with low credit scores.
Originally posted by whodeyThe time has come to end the Great Myth of Homeownership. There's this idea that having everyone owning their home is this huge benefit to society that it requires the Federal Government to step in to make it easier for people to own homes. We already have way too many McMansions and ugly suburban sprawl is running amok. Enough is Enough.
http://online.wsj.com/article/SB10001424052748704575019162391608940.html?mod=WSJ_WSJ_US_News_5
It appears that the long time over seer and proponent of Fannie Mae and Freddie Mac, Chairman of the House Financial Service Committee Barney Frank, has decided that both government run instituitons should now be abolished. This bit of news comes after a long h ...[text shortened]... CEO's in the private sector who no longer need the tax payer to prop them up. Why?
The two big things are operations like Fannie and Freddie, and the tax deductions available to people paying mortgages. It's time to start phasing out both these things and any other programs that favors homeowners over renters. Let the free market decide what percentage of America owns a home.
Time for the Tea Party Movement to become a truly populist movement and take the lead on these issues. Make the elimination of these two Big Gummint programs a central plank. You know the GOP won't like this. Well it's time to tell the GOP the Tea Party Movement is no longer going to be the GOP's ground troops.
Originally posted by MelanerpesI'm not a huge fan of Fanny or Freddie, but let's not take on this myth right now. You see I recently bought a home and since ones early mortgage payments are almost all interest I save a lot in taxes. Plus if kill the demand for my nice, little suburban home my property value will drop. How about taking this up in 30 something years when I'm ready to move to a little beach condo in FL?
The time has come to end the Great Myth of Homeownership. There's this idea that having everyone owning their home is this huge benefit to society that it requires the Federal Government to step in to make it easier for people to own homes. We already have way too many McMansions and ugly suburban sprawl is running amok. Enough is Enough.
The two big t me to tell the GOP the Tea Party Movement is no longer going to be the GOP's ground troops.
Originally posted by telerionDon't worry. If this issue is anything like healthcare reform, if we start working on it now, it'll take more than 30 years to get anything done. 😀
I'm not a huge fan of Fanny or Freddie, but let's not take on this myth right now. You see I recently bought a home and since ones early mortgage payments are almost all interest I save a lot in taxes. Plus if kill the demand for my nice, little suburban home my property value will drop. How about taking this up in 30 something years when I'm ready to move to a little beach condo in FL?
More seriously - these programs affect so many people - even if a law could be passed quickly, any plan to eliminate them would have to be phased in very gradually. I doubt you would personally be affected much. But in the meantime we can warn all the kids in grade school so they'll be prepared to buy a home in a mortgage market that is totally free from the "nanny-state".
Originally posted by whodeyObama: 'Do as I say, not as I do.'
http://online.wsj.com/article/SB10001424052748704575019162391608940.html?mod=WSJ_WSJ_US_News_5
It appears that the long time over seer and proponent of Fannie Mae and Freddie Mac, Chairman of the House Financial Service Committee Barney Frank, has decided that both government run instituitons should now be abolished. This bit of news comes after a long h ...[text shortened]... CEO's in the private sector who no longer need the tax payer to prop them up. Why?
---
"Obama recently approved base salaries of $900,000 plus $3.1 million in deferred payments, and another $2 million in bonuses for the CEO's of the failed mortgage giants freddie and Fannie. When asked if tax dollars should pay those bonuses or if they should be cancelled, Barney Frank responded that the bonuses were too high but nothing can be done now.
"
Originally posted by zeeblebotAny chance some of that bonus cash is going to his former lover? LOL
Obama: 'Do as I say, not as I do.'
---
"Obama recently approved base salaries of $900,000 plus $3.1 million in deferred payments, and another $2 million in bonuses for the CEO's of the failed mortgage giants freddie and Fannie. When asked if tax dollars should pay those bonuses or if they should be cancelled, Barney Frank responded that the bonuses were too high but nothing can be done now.
"
Originally posted by MelanerpesIn the UK and Sweden, the housing market recovered surprisingly quickly after mortgage deductions were abolished.
Don't worry. If this issue is anything like healthcare reform, if we start working on it now, it'll take more than 30 years to get anything done. 😀
More seriously - these programs affect so many people - even if a law could be passed quickly, any plan to eliminate them would have to be phased in very gradually. I doubt you would personally be affected ...[text shortened]... be prepared to buy a home in a mortgage market that is totally free from the "nanny-state".