Comments on: Senator Chris Dodd proposes setting up a fund that would buy defaulting subprime mortgages and restructure loans for borrowers

By: Ramon

Ramon — Wed, 20 Feb 2008 19:53:42 +0000

Does the purchase of countrywide by Bank of America have any effect on this, positive or negative?

By: Mitchell

Mitchell — Tue, 12 Feb 2008 21:28:06 +0000

I wonder where the heck is the money going to come from? Oh yeah! just print more money or let’s tax some more, bye bye dollar.

By: Owen

Owen — Wed, 06 Feb 2008 19:23:30 +0000

This may or may not be a good idea, but when a pipe breaks, the first thing you should do is turn off the water before you start mopping up the spill. Option ARMs are still legal. Stated Income loans are still legal. Stated Income Option ARMs are still legal. WTF? He should focus first on legislation requiring that lenders obtain written documentation of borrowers’ reasonable ability to pay on ALL loans, not just rely on the Fed’s recent bogus rules that only apply to (now non-existent) so-called “higher-priced loans”. C’mon president Dodd, with all due respect, pull your head out.

By: Tom

Tom — Tue, 05 Feb 2008 02:53:53 +0000

Well, right now we’re bailing out the banks and printing them money so cool like it’s day old newspaper – all the while our mighty dollar goes straight down the drain. I’m afraid the pot’s already been stirred, then again – that’s what got us here in the first place.

By: Fiscal Responsibility

Fiscal Responsibility — Tue, 05 Feb 2008 01:41:17 +0000

No, no, no, no, no!! No bailout for owners or Wall Street. People need to live with the consequences of their choices – period.

By: Mortgage Guy

Mortgage Guy — Sat, 02 Feb 2008 02:26:03 +0000

I’ll go as far as saying this is a step in the right direction but only because it focuses on the non functioning debt markets.

I’m not crazy about having the taxpayer hold the bag for the banks and investment companies. This transfers the risk from them to the government (us). Unless I saw people who are most responsible for this debacle, go to jail for the rest of their lives, then I don’t think I could go along with this in it’s present state.

It also sounds too cheap. 25 Billion in seed money seems minuscule compared to the trillions in bad debt out there.

None the less, any aid to homeowners should be means tested. Not on a most needy basis but on a basis whereby the homeowners who are financially strongest, get the aid first. So we should start handing out the help to homeowners with the most equity first and help those homeowners who can PROVE a capacity to repay the modified mortgage first.

The money will run out long before being able to bail out 100% ltv homeowners who have nothing to lose, so to speak, except a place to live.

By: akrowne

akrowne — Fri, 01 Feb 2008 23:26:04 +0000

This is on the right track! The government needs to get the properties off the market; stop trying to mess with mortgages and inflate housing! Keep the bailout isolated to helping individuals, where it belongs!