red states rule
08-08-2007, 05:29 AM
Hillary never runs out of new ideas to spend your money. So now it is the taxpayers responsibilty to pay for peoples mortgages they can't afford
What is next Hillary - we pay off credit card balances and car payments for people who get in over their heads?
Clinton wants to stem foreclosures
By: Mike Allen
Aug 7, 2007 02:24 PM EST
Sen. Hillary Rodham Clinton (D-N.Y.) warned Tuesday that the ailing mortgage industry could go the way of the disastrous savings and loan failures of the early 1980s if the federal government doesn’t intervene to protect borrowers and police lenders.
With the Democratic presidential candidates competing fiercely for voters in financial straits, Clinton traveled to an elementary school in Derry, N.H., to announce a “mortgage lending abuses” plan that includes establishing a $1 billion fund to help state programs that help citizens avoid foreclosure.
She also wants to eliminate the penalty for prepaying mortgages, which borrowers impose in part so they can guarantee a reliable cash flow when they package the mortgages and sell them to investors.
Afterward, Clinton said in an interview with CNBC that she favors “smart intervention before problems get out of hand.”
“We've seen our economy have to clean up after all kinds of messes,” she said. “Part of the reason we have the regulatory structure we do today is because of the problems that came to light disastrously in the Depression. We saw the collapse of the savings and loan industry. Regulators were not keeping up with a lot of new techniques and offerings that were provided.”
Clinton gave a speech on subprime mortgages, the high-risk loans fueling the current crisis, in March. Her chief rivals for the nomination, Sen. Barack Obama (Ill.) and former Sen. John Edwards (N.C.), had already issued policy documents tackling the problem, which looks likely to continue walloping Americans’ confidence and pocketbooks as the election approaches.
The issue is especially crucial for Democrats, who are competing fiercely for the support of a working-class group pollsters define as Americans who have less than a college degree and make less than $75,000. Clinton has done well with this group but Edwards is determined to erode her advantage with his frequent talk of fighting for the little people.
Clinton spoke ahead of a debate Tuesday night in Chicago that is sponsored by the AFL-CIO and features audience members who are part of what the huge union calls “working families.”
Tailoring her remarks to participants in the first-in-the-nation primary, Clinton said the Granite State had 1,400 foreclosure filings last year, up from 150 the previous year.
Spelling out other elements of her plan, the senator promised to crack down on what the campaign calls “unscrupulous brokers” by requiring them to disclose to borrowers how they are paid, including any increase in their compensation that results from higher mortgage rates or fees.
Clinton said she wants to require federal registration for mortgage brokers and allow prospective borrowers easy access to a broker’s history of employment, violations and complaints. And she would help borrowers figure out the full cost of a mortgage by requiring lenders to include taxes and insurance when determining if they can afford a mortgage.
As part of his urban poverty agenda, Obama has called for increased funding for federal law enforcement programs, new criminal penalties for mortgage professionals found guilty of fraud and a requirement that industry insiders report suspicious activity.
The measures, contained in a bill he calls the “STOP FRAUD Act,” include counseling to help homeowners and tenants avoid foreclosures.
Edwards has the most detailed program. He would create a national Home Rescue Fund that would seek to prevent foreclosures by working through local nonprofits, government agencies and community financial institutions. His plan says he also would allow homeowners to “shed excessive mortgage debt in bankruptcy” and advocate a “strong national law to prohibit … loan flipping, mandatory arbitration clauses, balloon loans, steep prepayment penalties and other excessive fees.”
http://www.politico.com/news/stories/0807/5287.html
What is next Hillary - we pay off credit card balances and car payments for people who get in over their heads?
Clinton wants to stem foreclosures
By: Mike Allen
Aug 7, 2007 02:24 PM EST
Sen. Hillary Rodham Clinton (D-N.Y.) warned Tuesday that the ailing mortgage industry could go the way of the disastrous savings and loan failures of the early 1980s if the federal government doesn’t intervene to protect borrowers and police lenders.
With the Democratic presidential candidates competing fiercely for voters in financial straits, Clinton traveled to an elementary school in Derry, N.H., to announce a “mortgage lending abuses” plan that includes establishing a $1 billion fund to help state programs that help citizens avoid foreclosure.
She also wants to eliminate the penalty for prepaying mortgages, which borrowers impose in part so they can guarantee a reliable cash flow when they package the mortgages and sell them to investors.
Afterward, Clinton said in an interview with CNBC that she favors “smart intervention before problems get out of hand.”
“We've seen our economy have to clean up after all kinds of messes,” she said. “Part of the reason we have the regulatory structure we do today is because of the problems that came to light disastrously in the Depression. We saw the collapse of the savings and loan industry. Regulators were not keeping up with a lot of new techniques and offerings that were provided.”
Clinton gave a speech on subprime mortgages, the high-risk loans fueling the current crisis, in March. Her chief rivals for the nomination, Sen. Barack Obama (Ill.) and former Sen. John Edwards (N.C.), had already issued policy documents tackling the problem, which looks likely to continue walloping Americans’ confidence and pocketbooks as the election approaches.
The issue is especially crucial for Democrats, who are competing fiercely for the support of a working-class group pollsters define as Americans who have less than a college degree and make less than $75,000. Clinton has done well with this group but Edwards is determined to erode her advantage with his frequent talk of fighting for the little people.
Clinton spoke ahead of a debate Tuesday night in Chicago that is sponsored by the AFL-CIO and features audience members who are part of what the huge union calls “working families.”
Tailoring her remarks to participants in the first-in-the-nation primary, Clinton said the Granite State had 1,400 foreclosure filings last year, up from 150 the previous year.
Spelling out other elements of her plan, the senator promised to crack down on what the campaign calls “unscrupulous brokers” by requiring them to disclose to borrowers how they are paid, including any increase in their compensation that results from higher mortgage rates or fees.
Clinton said she wants to require federal registration for mortgage brokers and allow prospective borrowers easy access to a broker’s history of employment, violations and complaints. And she would help borrowers figure out the full cost of a mortgage by requiring lenders to include taxes and insurance when determining if they can afford a mortgage.
As part of his urban poverty agenda, Obama has called for increased funding for federal law enforcement programs, new criminal penalties for mortgage professionals found guilty of fraud and a requirement that industry insiders report suspicious activity.
The measures, contained in a bill he calls the “STOP FRAUD Act,” include counseling to help homeowners and tenants avoid foreclosures.
Edwards has the most detailed program. He would create a national Home Rescue Fund that would seek to prevent foreclosures by working through local nonprofits, government agencies and community financial institutions. His plan says he also would allow homeowners to “shed excessive mortgage debt in bankruptcy” and advocate a “strong national law to prohibit … loan flipping, mandatory arbitration clauses, balloon loans, steep prepayment penalties and other excessive fees.”
http://www.politico.com/news/stories/0807/5287.html