Let me get this straight: the Democrats are backing George Bush's $700 billion rescue plan that Republicans oppose. These are strange times.House Republicans have many gripes with the plan. They are pushing to fund the recovery of financial services companies with private capital. Others are raising worries about the cost and the timing of the rescue. These are all valid questions.
Then there's the presidential campaign to consider. John McCain is threatening to skip tomorrow's presidential debates unless a deal on the bailout is reached. Maybe Republicans are throwing up roadblocks so McCain can swoop in and solve the impasse, looking presidential in the process. Barack Obama is also using this bailout for his political gain.
Meanwhile, Democrats are pushing for relief for cash-strapped homeowners. So far, they are not getting much sympathy from the Bush administration.
Treasury Secretary Henry Paulson recently said "the vast majority of foreclosures in this country ... are coming from people who either don't want to stay in their home, took out loans they couldn't afford as the result of irresponsible lending practices."
That's bologna, according to the Center for Responsible Lending, which says that the vast majority of people want to stay in their homes and could afford to if the courts were allowed to modify mortgages. Consumer advocates back the idea as do most Democrats. Bankruptcy judges think it's a good idea as well. The mortgage industry and some fiscal conservatives oppose this provision, arguing that it rewards people for making bad investment decisions.











Reader Comments (Page 1 of 1)
9-26-2008 @ 1:33AM
Numenore said...
How is the latest Electoral College status of Obama 269, McCain 269 tanking, that's generally called a "tie" or "tight election" some people are wishing on genie lamps in the Democratic Party I believe. The first debate was Foreign Policy, McCain's forte....something he didn't need to cram course study in Clearwater, Florida ( where's he's mainly pandering for votes in my home state....Obama lost it already. Pollsters simply hang around Miami and Jacksonville to beef up Obama's numbers. It's like hanging out simply in Philadelphia and not polling in Pittsburgh. Pennsylvania is a state most like Alaska in main body America. It's Palin's turf, it's NRA land, its not Obamaville, Pa. Finally Obama is so concerned about his own campaign and not our economy. I'm against a bailout for poorly run Big Business, with 7 and 8 figure executives playing golf making no decisions just like those arrogant Enron fools. Only retirement funds for those retired ( I'm working ) should be bailed out. McCain saw this as a high magnitude crisis. Bill Clinton was smart enough to know that McCain didn't bail on the Debates out of fear, as Obama's camp implied. The arrogance of Obama is perverse. He sees his personal needs exceeding his Senatorial duties. So this arrogance requires his being asked to Washington instead of realizing his need to be there. McCain has always put America first, Obama has his own intangible agenda, why else will we have Joe Biden as the real President-elect.....if Obama wins. These decisions of Obama to demand the debates has come back to bite him, McCain looks cleaner. Besides if you look at Obama around the Senatorial Table, he looks distant and totally confused about this financial crisis. With each passing day his inability to be President is becoming apparent. To a swing voter nothing could be more obvious.
9-26-2008 @ 5:30AM
John Taylor said...
If he cannot multitask, how will McCain run a country?
McCain has been pretending the USA had a sound economy. "The fundamentals of the economy are strong." Now with an economic crisis obvious to all, he suddenly is unwilling to debate on foreign policy, his strongest area. Obviously, he thinks that some economic questions will be asked.
His sad tactics of running to hide, using his presence at a debate as a pawn, and posturing, are very unhelpful to any sort of delicate negotiation.
There are zero people (not even McCain himself) who believe that McCain being in Washington is necessary for a solution to the banking crisis.
Meanwhile, Obama has a very clear understanding of what can and should be done, and has clearly explained his points. He wants homeowners helped so the banks that hold their mortgages don't fail. He wants taxpayers protected in any bank bailout. He does not wish to see failed executives getting a huge golden parachute as a reward for failure.
I have yet to find any clear presentation of the McCain plan.
9-26-2008 @ 6:28AM
Henry Postigo said...
What about this, refinance with the new price of the house and freeze the debt of the difference until I pay it, and continue paying for let's say another 10 years.. I know the time value of money will come into play, but hey at least this companies are getting their money back. For Christ sake, they are so greedy that even though they know that these people may eventually foreclose, they still don't want to give in. What if the people that took a loan for the wrong reason are benefited, you are still getting paid. I hope they go bankrupt for such a narrow mind.
9-26-2008 @ 6:48AM
Harvey Mushman said...
"The mortgage industry and some fiscal conservatives oppose this provision, arguing that it rewards people for making bad investment decisions."
Why don't the banks apply their own statement to themselves?!!!
9-26-2008 @ 8:04AM
meg said...
Don't you all get it???? Bush has set this up so all the Democrats are scurrying around trying to implement the "Bush" bailout. Now in comes McCain to save the day....since the majority of people are against this...he now rides in with a new plan and says..."I'm not like Bush." See...I make it happen....meanwhile, Obama and the Democrats look like fools trying to implement a ridiculous $700 billion plan. It's Bush politics working again!!!!!
9-26-2008 @ 10:34AM
rikoshaprl said...
I am disturbed that the congress pushed Fannie and Freddie to make loans available to poor people that couldn't afford to pay. Then as property values dropped, investors packaged the bad loans to avoid risk. Now I'm being asked to pay to rescue all three parties, congress, investors and buyers. I could agree to ante up the $700 billion if I was assured that any profits made from the sale of these assets would be given back to me, the taxpayer, and not spent on some other stupid government program. Then I want a good price for these toxic assets.
9-26-2008 @ 10:43AM
Marianne said...
This is more Bushonomics only now he's got McCain doing his bidding. Everyone knows we've got to structure some plan to get us on track. Washington is invested in making it seem like McCain's got the answers. Let's not forget that he was still saying "the economy is fundamentally sound," last week. Nero fiddling, while Rome is burning!
9-26-2008 @ 11:44AM
gccms said...
Say No To Wall Street Bailout!
Trillion Dollar March
September, 27 2008 10:AM
Capitol West Lawn, DC
http://truemajority.wiredforchange.com/event/index.jsp?event_KEY=479
9-26-2008 @ 1:01PM
Lisa said...
It irks me that anyone should now try to blame this mess on people who took out these mortgages. "Predatory Lending" is a phrase which has come into play more times than I can count during this thing. The reality is that Bush & Company pushed for more loans to be made in order to put more money into circulation to boost the economy. It was a short term bandaid, and they left it to heal a festering wound. The industry tricked people into taking loans they couldn't afford (and in many cases the borrowers didn't fully realize what they were getting into), and now they want to be bailed out. The real victims are those tricked into those loans; those same people will have to fork over higher tax dollars to be able to bail out the industry that messed them up in the first place. Who is going to help the victims here?
9-26-2008 @ 1:32PM
Joe said...
Wolf, wolf, wolf, wolf wolf wolf wolf wolf wolf wolf wolf wolf...once too often
9-26-2008 @ 2:35PM
Pete said...
how did my pathetically stupid dems get themselves to the point where they are the champions of Bush, bailing out the Wall St fat cats and the "too much ain't enough" reps are looking out for the taxpayers.
nice going dems,you've done it again.
you'll give all the rep contributors exactly what they want and take all the blame from the comatose public who are finally rousing from 30 years of rep de-regulation.
dems are too stupid to eat and breathe.
9-26-2008 @ 7:10PM
John Sparsky said...
We need to follow Thomas Jefferson's advice more often. These people have put together a petition using only Jefferson's words. If it gets to 10000 signatures, it will be forwarded to the members of congress and the senate.
Jefferson's Plea.
People are opposed to the bailout, because it is a shortcut to tyranny.
9-26-2008 @ 8:08PM
A Patriot said...
The Muslim Agenda - Gay Rights and the Destruction of Christianity and This Country and our Economy
Historically, Religious Zealots, like Radical Muslims are smart enough to make LONG RANGE PLANS. The objective of the Radical Muslims is to destroy Christianity. They are making great progress using Americans against Americans. Gays/Lesbians against Heterosexuals.
1. Put Bill Clinton in the Whitehouse and Pelosi in Congress. Bill destroyed our economy. Look at the Current Mess and the Clintons helped with 911 by allowing the Terrorists to enter the Country. Bill spent tax dollars to further the Muslim Agenda by Slaughtering 1000's of Christians in Kosovo.
2. Let Bush, a Republican take the Blame.
3. Put Barack Obama in the Whitehouse and continue to pit Gays against Heterosexuals until Gays "win" and Christianity is destroyed.
4. Islamic Law will prevail and of course, ultimately Gays lose because Muslims don't support Gays. I know, everybody here will say "I'm crazy" just as I was "crazy" in opposing Pelosi's "bail out the Rich Plan" on housing foreclosures. Rich are now being bailed out!
9-26-2008 @ 9:40PM
BamBam said...
We went from a historical surplus under Clinton,to a soon to be 15 trillion deficit.Pump up the faltering economy by artificially promoting an inflated real estate market-even give poor folks the "American dream".....one problem,they don`t earn the money to pay these bills....And the securities exchange comission watched this scenario unfold,watched bad debt get a fancy bow and get sold to our pension fund financial managers,and did nothing.
9-28-2008 @ 11:36AM
Debbie said...
It looks like Obama not even voting present on this one. He doesn't want to ba accountable once again for making any decision. God Help Us!
9-28-2008 @ 4:05PM
Barbara Regalado said...
I hope Wall Street says thanks but no thanks. I urge everyone check out the candidates on all issues,anyone with stock check out older portfolios. Did this just happen, or was it set up to happen? Do your own fact checks! Does anyone have the answer? I think we'll be hurting if it doesn't go through, but we'll be hurting more if it does. Barbara