Battle Stations against GOP- Round 2 : Foreclosure Bill

[Undercurrent]

Democrats Tailor Foreclosure Bill To Obama Goals

As President Obama prepares to announce a program next week to stem the soaring rate of foreclosures, key Democratic lawmakers say they are planning to craft a housing bill that would give the administration the authority it needs to carry out several elements of the initiative...

...The legislation would include a provision changing the bankruptcy law to allow judges to modify the mortgages of distressed homeowners, including by reducing the principal of the loan to the property's current market value, he said. This proposal has already gained support from one House committee but drawn fierce objections from Republicans and the financial industry. Though Obama supports this provision, he declined to include it in the stimulus bill approved yesterday, fearing the bankruptcy measure would derail the overall legislation, Democratic congressional sources said.

Another provision, Frank said, would provide legal protection to lenders who reduce interest rates or otherwise modify the terms of troubled loans for homeowners. Some previous foreclosure prevention efforts have been hampered by the threat that investors who own securities backed by the mortgages would sue to block loan modifications, according to the financial services industry.

more... http://www.washingtonpost.com/wp-dyn/content/article/2009/02/13/AR2009021301692.html

[Still Sensible]

1. Saddle Up

This one is going to be a fight, I am sure.

[PM Martin]

2. I hope there is no more talk of "bi-partisanship".

[cliffordu]

3. LI hope there is. Every time Obama says the word the Pugs show themselves to be the

callow, brazen cowards they really are.

[Old Codger]

4. They have to

Force them to really filibuster instead of just the threat that stuff is not what the system is for , there was a real reason for that.. Make em do it

[Thrill]

5. I dare them to fillibuster a bill changing the bankruptcy laws and helping homeowners

[Undercurrent]

6. Me too!

A big fat filibuster. The irony would be terrific, as well as the entertainment value.

[Fire1]

7. My first response is, define 'distressed.' In speaking to my

mortgage lender recently (Chase) re: loan modification, I was told, 1) You cannot be in the process of or have filed for bankruptsy 2) You cannot be in default or in the process of foreclosure and 3)One must be employed and income at least half of what the owner was making at the time of the original loan. Also, regardless of current loan to value, the owner is still liable for the original amount of the loan. To me, this sounds like they will lower monthly payments and extend the length of the mortgage. Not much of a modification, if you ask me.

[xiamiam]

8. exactly..they will modify the interest..and you still pay for a mortgate that is underwater

great for a bank..not great for a homeowner who will definitely go belly up eventually

[ej510]

9. Call your senators and tell them to make the Gop filibuster this bill.

America needs to see this party for what they are and it is a terroristsorganization.

[TheBigotBasher]

10. As this is not a Finance vote

it does not require 60 votes, all that is needed is a majority. We should have that provided our own Members behave. The Rethugs have the filibuster but let them.

The term derives from Pirates and this will show them to be just that.