Urgent efforts to lash together a $700 billion rescue plan for the national economy appeared to be stalling Thursday night, hours after key lawmakers had declared they had reached a deal.

It ain't done yet folks and I don't think it will be done with in the week.

I heard that the only republicans that were on board were the lower level republicans & democrats refuse to sign anything without 100% of republicans being on board, I don't blame them, this is a huge debacle that they do not want blowing up in their faces!

Newt had some interesting suggestions..I'll have to look up the details he laid out, but simplistically he preferred seeing a low rate loan instead of an all out bailout.

Holy cow..I need to stop googling because my head is going to explode..get me some duct tape now!


We've already put out some megga cash for "mortgage bailouts" google this..

Dodd-Frank mortgage bailout

then google again & add this ACORN

I'm too scared too. . .

__________________
"No one believes more firmly than Comrade Napoleon that all animals are equal. He would be only too happy to let you make your decisions for yourselves. But sometimes you might make the wrong decisions, comrades, and then where should we be?"
- George Orwell Animal Farm

Maybe someone can find a good sale on duck tape for you!

OK. . .I got up the courage to google Dodd-Frank mortgage bailout.

I'll share what I found:

Questions remain about Democrats' housing aid plans as US mortgage market trouble swirls
The Associated PressPublished: April 1, 2008

WASHINGTON: As Treasury Secretary Henry Paulson proposed overhauling the regulatory framework for the financial system, Democrats in Congress on Monday said it was far more urgent to try and quickly stabilize the housing market.

But even as Democratic lawmakers pledged to move swiftly on a plan to have the government guarantee $400 billion (€253 billion) in troubled mortgages, industry experts said that help might come too late for many strapped borrowers.

Some mortgage industry experts say steps already taken by the government, such as cutting interest rates and giving government-sponsored mortgage companies Fannie Mae and Freddie Mac broader roles, may obviate the need for the mortgage-guarantee legislation.

"By the time it gets here, will it be necessary?" asked Keith Gumbinger, a senior vice president with financial publisher HSH Associates.

Others say the mortgage market is in such dire shape that any help is welcome. "The more resources you can put at this... the more likely you're going to be able to get the market back in equilibrium," said Brian Bethune, an economist with Global Insight.

Today in Business with Reuters
U.S. bailout plan stalls after day of talksU.S. government seizes Washington Mutual Orchestrated financial effort pays off in Hong Kong
Sen. Christopher Dodd and Rep. Barney Frank, both Democrats, want the Federal Housing Administration, the Depression-era agency that insures mortgages, to guarantee $300 billion to $400 billion (€190 billion to €253 billion) in refinanced loans to troubled borrowers.

It is just one of a flurry of housing proposals kicking around Congress, but it has garnered the most attention lately because of its scope. Other ideas pushed by Democrats include letting bankruptcy judges rewrite the terms of distressed mortgages and providing federal grants to help communities with large numbers of foreclosed properties.

Dodd, the chairman of the Senate Banking Committee, minimized the significance of the Paulson plan to ordinary Americans, saying the proposal to overhaul how banks and investment firms are regulated "has nothing to do with the current problems we're facing." He added: "We've got a contagion. We're in a recession...We've got people losing their homes, and this problem (is) spreading to other sectors of the economy."

While some Republicans — particularly in hard-hit states such as Michigan, Ohio, Florida and California — are likely to latch on to housing rescue plans, Senate Republicans are likely to be more skeptical, said Brian Gardner, Washington analyst with Keefe, Bruyette & Woods Inc.

Gardner said the Dodd-Frank plan could be seen as interfering with market forces, especially as indications emerge that the housing market is improving, such as February's unexpected 2.9 percent increase in existing home sales.

In recent weeks, the federal government has made significant new moves to aid the strapped market for mortgage investors, and Republicans are likely to argue that their impact needs to be evaluated before any broader changes are enacted.

Last Thursday, the Federal Reserve auctioned off $75 billion (€47 billion) in Treasury securities in exchange for mortgage securities, part of a plan to assume $200 billion (€126.5 billion) in difficult-to-sell mortgage investments.

In addition, the 12 regional banks in the Federal Home Loan Bank system were granted permission last week to increase purchases of Fannie Mae and Freddie Mac securities by $100 billion (€63 billion) over two years. That came a week after the government made it easier for Fannie and Freddie to play a bigger role in financing home loans.

Critics also see the Frank-Dodd plan as rewarding both investors and borrowers for risky behavior and say that taxpayers would ultimately be on the hook should the refinanced mortgages fail in droves. In addition, it remains uncertain whether investors in mortgage securities would be eager to participate — given the hefty losses they would be likely to take.

Another question surrounding the Frank-Dodd effort is how the value of homes will be determined. With property values falling, it may be difficult to agree on how houses should be appraised.

http://www.iht.com/articles/ap/2008/...s-Congress.php

Hindsight is 20/20!

__________________
"No one believes more firmly than Comrade Napoleon that all animals are equal. He would be only too happy to let you make your decisions for yourselves. But sometimes you might make the wrong decisions, comrades, and then where should we be?"
- George Orwell Animal Farm

And BINGO!!!! We have a winner!

One deregulatory measure that is lacking from anybody’s plan is a sharp cutback or outright elimination of the Community Reinvestment Act (CRA), which essentially puts a gun to the head of all lenders unless they issue mortgages to various minority groups, low-income folks, and both legal and illegal immigrants. Lenders out of compliance would be penalized as regulators would disallow any new business plan for mergers, acquisitions, or new products. Community groups like Acorn could rat out lenders by showing data to the regulators who then would step into action.
http://kudlowsmoneypolitics.blogspot...sub-prime.html


I've been throwing this around for awhile now. . .but nobody wanted to talk about it!!!

I was starting to think I was turning into a conspiracy theorist. ACORN is just a group of "community organizers" that want to get people registered to vote. . .yeah right.

ACORN is a group that has been convicted of voter fraud. . .basically caught trying to rig elections. They use terms like "proletariat" and "bourgeois" And they would love to "put a gun to the head of all lenders" while the taxpayers pick up the bill. Hmmmm. . .redristibution of wealth. . .any of this sound familiar?

__________________
"No one believes more firmly than Comrade Napoleon that all animals are equal. He would be only too happy to let you make your decisions for yourselves. But sometimes you might make the wrong decisions, comrades, and then where should we be?"
- George Orwell Animal Farm