Kerry, Schumer Lending Proposals Implemented

[DogPoundPup]

Source: Market Watch

WASHINGTON, Nov 13, 2008 Changes to Small Business Program will Aid Ailing Firms
Upon the urging of Sen. John Kerry, Chairman of the Senate Committee on Small Business and Entrepreneurship, and Sen. Charles Schumer (D-NY), a senior member of the Senate Committee on Banking, the Small Business Administration (SBA) is changing two aspects of their lending programs that will help ease the credit crunch.

"I've been pushing for these changes since May 2007, but the Administration refused to act and blocked Congress when we tried to do it in a bill. After much urging from both sides of the aisle I'm happy that the SBA has finally decided to step in to provide some relief to small firms," said Kerry. "These are easy administrative changes that should have been made before our long-building credit crunch spun out of control."

One of the changes being made by the SBA would give lenders the discretion to use an alternative variable interest rate to the Prime interest rate. Lenders will now be able to use the London Interbank Offered Rate (LIBOR). Additionally, the SBA will allow loans with various interest rates to be pooled for sale on the secondary market rather than allowing only loans with the same rate to be pooled. These various rate pools are also known as Weighted Average Coupon (WAC) pools. The changes published in the Federal Register today will improve small business lending and make it easier for banks to sell the loans on the secondary market.

Read more: http://www.marketwatch.com/news/story/Kerry-Schumer-Lending-Proposals-Implemented/story.aspx?guid={F03E6D0B-22AC-460C-936C-A83FC2A2A540}

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:thumbsup: KERRY!

[blm]

1. These measures were a big part of 2004 platform, too. Gee - wonder why corpmedia wouldn't discuss it

then OR in 2007 when Kerry pushed again for Small Businesses to get their fair share.

[karynnj]

2. Outrageous that they sat on this since May 2007

This is the real reason that even though Obama now has an incredible mandate for change (that the media has tried - unsuccessfully - to diminish) The world would have been SO much better had Kerry gotten the votes he needed in Ohio. Between the financial crisis - which still would have happened - and on Iraq and FP, there is nop question the world would be in a better situation.

Kerry and Smith were also the first to write legislation that re-negotiated mortgages (Dec 2007)- the Finance committee's stimulus package had it - included with 20 votes from the 21 member Finance committee. It was stripped out, but then passed this summer as part of the banking bill.

[YvonneCa]

3. Outrageous, but not surprising ...

...from the Bush Administration. Yuk.

[fascisthunter]

4. Hey Republican Lurkers... this how the GOP feels about small businesses

if you truly give a damn about this country, you'd take issue with this. Your call...

[ohtransplant]

5. It's true.

In this position Kerry has been one of the best Friends small business has - and for a long time.

Small business people are kidding themselves if they're waiting for help from * or his minions.