Freddie Mac Reportedly Invested Billions Betting Against Struggling Homeowners

NPR:

Freddie Mac, a taxpayer-owned mortgage company, is supposed to make homeownership easier. One thing that makes owning a home more affordable is getting a cheaper mortgage.

But Freddie Mac has invested billions of dollars betting that U.S. homeowners won't be able to refinance their mortgages at today's lower rates, according to an investigation by NPR and ProPublica, an independent, non-profit newsroom.

Read the whole story: NPR

Comments

[dpooch]

08:43 AM on 01/30/2012

Here you see business as normal by the GOP. Like Mitt and Newt this is ok because a few made billions at the expense of the many. The GOP American way. Create a few billionaires to finance their office runs. And to hell with the majority of Americans.

[GJOA]

08:41 AM on 01/30/2012

The S.E.C. should investigate who is the responsible of these false allegations against Freddie Mac.
Freddie Mac is not betting against the homeowners.
Freddie Mac doesn't prevent homeowners to take advantage of today's mortgage rates.
Freddie Mac's own financial health doesn't improve when homeowners can't refinance.
Freddie Mac doesn't make trades against the homeowners.
Freddie Mac's investments decisions are approved by the FHFA or the Treasury.
Freddie and Fannie have already in place a program to refinance underwater borrowers, the ones that are reluctant to refinance underwater borrowers are the big banks.
The article can't discredit Freddie's operations saying that it uses "complicated securities", if you don't understand them, go to college, idiot!

Huffpost helps to spread a big lie and it will be held accountable as well.

[Peter007]

08:38 AM on 01/30/2012

Rahm Emanuel worked as an investment banker for 2 years and made $16 million dollars after leaving the Clinton Administration.
He then was given a job on the Board of Directors at Freddie Mac where he earned $320,000 for attending 6 meetings a year.

During his time on the board, Freddie Mac was plagued with scandals involving campaign contributions and accounting irregularities. The Obama Administration REJECTED a request under the Freedom of Information Act to review Freddie Mac board minutes and correspondence during Emanuel's time as a director.

[jgallery]

08:31 AM on 01/30/2012

Dodd/Frank excluded these guys - hmmmmmmmmmm

[Peter007]

08:31 AM on 01/30/2012

The US government in Washington runs the Housing Industry in the US.
The government runs the auto industry.
The government runs the passenger train service in the US
The government runs the health care system
The Federal Government runs the banking system,

To have a functioning democracy, the people have to be educated about what the government does .

The reason democracy has failed, is that it is impossible for citizens to be experts at everything.

[janereally]

10:42 AM on 01/30/2012

OK I'll bite, how does the gov't run health care? Aetna raised prices 10% all by themselves. Because they can.

[Peter007]

02:05 PM on 01/30/2012

There are 30 different ways.

1. In order to work in health care you need a government license.

2. If you are an insurance company, you are regulated and need to have a certain level of assets and you must provide coverage for things which many of your customers do not want coverage for.

3. The list would be shorter if you asked for ways in which the health care busienss is a free market operation.

[madame48]

02:15 PM on 01/30/2012

healthcare? you mean because my mom has Medicare...that pays her private doc and the private hospitals and pay her private pharmacy bills ...out of the money SHE paid in working as a nurse since 1965 creation of Medicare? please be specific Peter...oh. and my mother voted for Johnson and her Congress reps, creators of Medicare...otherwise know as democracy

[jingl]

08:29 AM on 01/30/2012

Wachovia bank officer convicted in FL for making fraudulent loans knowing the applicants would be unable to pay. Look it up.

[Tuskin Roberts]

08:29 AM on 01/30/2012

Who knew that a multi-billion dollar corporation would care more about profits than people? Oh well, can't criticize a "job creator."

[JProducer Wignz]

08:28 AM on 01/30/2012

Just like charging W. with war crimes this will go unpunished. Who runs the go.v?

[Prison Planet]

08:25 AM on 01/30/2012

The CEO who ran Freddie Mac should be labelled as " Terrorist "
and arrested
-
anyone who distroys people's lives is a terrorist

[Prison Planet]

08:21 AM on 01/30/2012

Thank Newt Gingrich for that advice he gave them
-
He is now running for president so he can screw the whole
country over once more

[Toddynho]

08:33 AM on 01/30/2012

But.... but.... but... MOOOOON Colonies!!!! lol.

[bryan broome]

08:18 AM on 01/30/2012

Only a fool would politicize this.

[bestoftimes1]

08:14 AM on 01/30/2012

Prez 42 and his buddy F. Raines look what those two did with fre and fann, it's where this whole mess began.

[Slippery1]

08:18 AM on 01/30/2012

and many willing accomplices in the Congress including MaxineWaters and BarneyFrank

[plebian43]

08:29 AM on 01/30/2012

and the other guy that was on the BOD of Freddie who went on to become Mayor of Chicago after he had done all that was to be done in DC.

[agt4085]

08:13 AM on 01/30/2012

All Americans should show solidarity against big business. We could all show how powerfully we are with one button. Right before Facebook goes public. Everyone should deactivate their accounts. This is a multi billion dollar company with 3000 employees.

[ken607]

08:09 AM on 01/30/2012

the govt better do something b4 the people start too. then it will be to late for the govt to say anything.

[mater]

08:19 AM on 01/30/2012

I lost over $26,000 selling my home after it was on the market for 2 years. And I'm still not over it. It's all a big, ugly game to realtors, appraisers, banks, buyers--and I'm not laughing.

[janereally]

10:43 AM on 01/30/2012

You can thank Alan Greenspan.

[ken607]

09:40 PM on 01/30/2012

i told my brother about the housing problem coming in 06 he didnt believe me, he said the housing always goes up. he knows different now. the games must end, so it wont happen again.

[ken607]

08:08 AM on 01/30/2012

ONLY PROVEING THEY KNEW FRAUD WAS BEING COMMITED!

[bryan broome]

08:16 AM on 01/30/2012

Shouldn't you be a little more diplomatic about this. :)

[ken607]

08:32 AM on 01/30/2012

no. im all out of it. we have been debateing all this for years. time for a reality check. and time to once and for all fix it and move on. or we can dawdle and forget about it so it happens yet again! im with you ,im not a R or a D but an I! im alittle of both R and D.but lately more D than R. for the Rs have gone way way WAY out of reality.