Quote:
Originally Posted by irpq11
Supermans, where can I get the paperwork, forms, to send in my request for my bailout money?
Are they gonna put a cap on the 'Rescue' funds for American businesses? I totaly get the autos and the banks. I disagree but I get it that the bleeding had to be stopped. And the wound has to be sutered, but is there a criteria for getting a 'loan' from the gov?
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mods, thank you for letting this discussion continue even though politics is involved. Since this is the only forum I belong to in which I care about the people in it, I don't know where I would go to speak my mind on this issue.
This is a better explanation than I had before...
There are two groups of homeowners here that are being looked at by the plan. The first group is made up of people who cannot afford their mortgages -- by the way, the price of this is $75 billion. The first group is made up of people who cannot afford their mortgages and have fallen behind on their monthly payments. Many of the people here in group one took out loans they were never going to be able to afford.
Now, how does that happen? The New York Times just glosses over this, but how in the name of Sam Hill do you take out a loan that you were never going to be able to afford? It seems that somebody had to tell the lender to do that, and we know that's exactly what happened. The Community Redevelopment Act started with Carter, beefed up with Clinton, it was one of the specialties of Barney Frank and Chris Dodd, it's called affordable housing. Fannie Mae and Freddie Mac bought up all this worthless paper, started inventing all kinds of things, derivatives and you name it to try to give value to this worthless paper, and that got us largely in the place that we're in now. Many people took out loans they were never going to be able to afford, never! That means somebody knew from day one they were never going to be able to pay back the loans. Some of these people have since lost their jobs. They are still in the homes. About three million households fall into category number one, and without help, they will lose their homes. So the first group is made up of three million people who can't afford the mortgages, who took out loans they were never going to be able to afford.
The second group is far larger. It is made up of more than ten million households that can afford their monthly payments but whose houses are worth less than what is owed on their mortgages. In real estate parlance, they're underwater. If they want to stay in their homes, they'll have no trouble doing so, but some may choose to walk out voluntarily rather than continue to make payments on an investment that may never pay off. Obama has apparently decided to focus on the first group, based on the previews of his speech that his aides have put out there. So let me sum this up for you: $75 billion in the housing Rescue plan. It is gonna go to group one, people who couldn't afford the house and mortgages they entered into in the first place. Group two is going to get hardly anything, maybe nothing. They are made up of over ten million people. They are making payments on their homes, but they're underwater because of the plunge in housing prices caused by the first group. The larger group is making their payments but the value of their home's plummeted, going to get nothing. The plunge in their housing prices, the value of their home caused by group one.
The responsible people in the second group are going to get the equivalent of diddly-squat. What Obama is going to do is bail out the first group, which has contributed directly to the misfortune placed by the second group. So to personalize this, you live in a house, you're making the mortgage payments, but the price of your house has plummeted, it's now worth less than what your payments will add up to. A lousy investment. You can stay in your house, but not much can be done to raise the value of your house. The first group, which had no prayer of ever being able to pay it back and is not paying their mortgages, that's who's going to be bailed out in the re-distribution of wealth plan. Well, you in the second group, you do get eight dollars a week in the tax credit plan found in the stimulus bill. It's not as though you're getting nothing.
I didn't come up with this, this is actually paraphrased from a popular conservative personality who understands the issue better than I do..I toned it down a little bit as well
So basically to some all of this up, just don't pay your mortgage for a few months and be in danger of a foreclosure,then you fall into the group that is going to be bailed out.. If you are struggling to make the payments and being responsible even if you are having a hard time and having to sell things and give up entertainment expenditures to make the payments, sorry you don't fall under the new bailout, but will get something back from the original stimulus..