Bush Officially Announces Plan To Freeze Interest Rates

AP:

President Bush announced on Thursday a plan to freeze interest rates for five years for hundreds of thousands of strapped homeowners whose mortgages are scheduled to rise in the coming months.

"The steps I outlined today are a sensible response to a serious challenge," Bush said.

Seeking to counter criticism he is violating his free-market principles, Bush said the private-sector plan does not represent the imposition of a government solution to the mortgage crisis.

Read the whole story: AP

Comments

[ookla]

Hmmm.... maybe if I put out a 'solution' to a scary problem that affects the American people directly (rather than indirectly in some foreign country) and that the media continues to talk about, maybe, just maybe, they'll forget about the whole 'Iran doesn't have nukes' thing and I can bring peace and prosperity to the middle east...

And then, if the 'solution' is really a bail-out for the lenders that are going to get smoked by any housing crisis that they helped cause (and therefore won't be able to contribute to the Republican party), what a win-win for me... Yeah, let's try that....

[LeftLeftLeft]

Stupidity and greed got people into this mess, and "Stupid" and "Greedy" appear to be planning to get them out. I say anyone dumb enough to think they can afford their 3500 sq ft ticky-tacky didn't believe the balloon would blow up on them!

Where is the bail-out for our thousands of homeless vets? You know, those guys who are daily reminded that they were just a number while they were being shot at?

This government neither acts with responsibility nor encourages it. And now they once again reward stupidity and greed. I saw this coming . . . why didn't so many lenders and buyers? It didn't take a PhD to figure it out. Just common sense . . .

Oh, that's right . . . no one practices THAT anymore . . .

[BigDan]

How come there has been no list of the income breakdown of people losing their homes?

[BigDan]

13. Heating prices.
14. Electricity prices.

[BigDan]

10. Auto insurance.
11. GAS PRICES!
12. Food prices.

[BigDan]

The FARCE of Bush's "teaser freezer"!

[BigDan]

This is RIDICULOUS! People are losing their homes BEFORE the balloon rate is hitting! It's going to hit next year! Further, if someone would lose their home if their % went up a few points, you think they're losing it anyway! Does anyone get this?

The REASON people are losing their homes:

1. Stagnant wages.
2. Astronomical health care premiums.
3. Health care co-pays.
4. Health care deductibles.
5. Health care not covered, even though you have health insurance.
6. % health care not covered. IE: pays only 70% of everything, YOU still have to pay 30%!
7. Job loss.
8. Lower paying jobs.
9. Did I say medical bills?

[GoodGuysandBadGuys]

well I am glad that some people will not have to lose their houses.

however I am clear that the first and foremost reason this is being done is to help the institutions that loaned the money, not the people who bought the houses.

but of course, bush will stand up in front of the people and claim 'this is all to help you, the people' yeah bullshit. it's all about helping the kings, and a few of the serfs getting help is a secondary benefit.

[getoffmedz]

Correction - . . . . . now faltering economy will improve.

whoops

[getoffmedz]

The "Mortgage Fix" is more administration hocus pocus. It is an informal agreement with no enforcement whatsoever between the administration and SOME SUBPRIME LENDERS to freeze ARM interest rates until Bush/Cheney gets out of office when the rates will go back up. Five years is only a number and means NOTHING!

Remember this is an informal agreement.

This is total bullshit for a fools paradise, y'all, for those folks believing the now faltering will improve. And in the next 11 months your property, depending on where you bought, will decrease in value 50 to 60%.

The only people this will benefit are the speculators, read "flippers" who will cut their loses and sell immediately for what they can get. They haven't paid that much to play, anyway. Plus they can write-off their losses.

ARM-mortgaged working families who need their houses are often in credit card debt up to their eyeballs and are totally and completely fucked.

Why do you think the bankruptcy laws were changed?

[Advocate123]

I am so sick of this Compassionate (Big Government Liberal) Conservative nonsense.

Can we finally elect a conservative??!!

Advocate123
http://copiousdissent.blogspot.com

[mmckinl]

The privately owned and operated Federal Reserve is fighting for its life. They will not relinquish their hold on the throat of the American economy , and will strangle it before doing so.

The United States Government will have to face bankruptcy and pay even more usurious homage to the bankers.

[ErnestineBass]

I'd be watching for Congress to begin discussing some sort of legislation aimed at "reducing" the number of foreclosur­es...ala the punative individual bankruptcy bill passed under BOOOsh.

Hide and watch.

[mmckinl]

Will help a few hundred thousand at best for a limited time. Once they figure out they owe more than the house is worth , they are gone.