Today, Saturday July 26, 2008 Congress met to pass a bill bailing out 400,000 of our fellow Americans who took out mortgages they couldn't afford. Yep, it's true and President Bush is going to sign this awful bill into law. He must not have gotten the memo about how out of control spending cost Republicans the House and the Senate not too long ago.
In short, nearly half a million Americans bought homes they could not afford. These people cannot afford to pay their mortgages. So what does this bill do? This bill will allow these delinquent borrows to refinance with new mortgages backed by....you guessed it...the American taxpayer. There's also some money thrown in for Fannie Mae and Freddie Mac. We can't let them go under, now can we?
Keep in mind, Congress does not make any money to add to the budget, all they do is spend it. The President does not generate income to add to the budget, he just signs the spending bills sent to him by Congress. This is not their money, this is our money. Our money is now being used to guarantee the mortgages of people who don't pay their bills.
Well, that's not really true either. It's more like our kids and grand kids money. We're already trillions of dollars in debt. Maybe we can send the Chosen One-the Messiah Obama go on another fundraising swing through Europe, so the Europeans can bail us out. They sort of owe us anyway, so why not?
If you would like some insight into how we got into this mess in the first place (no, it wasn't Bush's fault) check out Thomas Sowell's column in Investors Business Daily from earlier this week.
3 comments:
We just bought a new construction house. We had to qualify, just as we've always had to qualify.
These irresponsible lenders, encouraged by Alan Greenspan, handed out these loans like candy at Halloween.
When you sign the papers, you pay for the house or lose it. Hmmmmm, guess not.
Sigh!
Maggie
Maggie's Notebook
From what I understand, many of the 400,000 loans went to unqualified people, meaning those with no "verifiable" jobs… ah, meaning illegals. Cute, huh? It was cheap or zero rent while they sent money back home.
Great post, LC. Been cooling it during the "dog days."
At hearings on the Freddie/Fannie part, a republican mentioned that the power would be available to democrats in the next cycle. Which means, obama and his chosen band of socialist will have the power to underwrite loans to anyone using the Freddie/Fannie guaranteed loan system.
While everyone is saying the bailout will solve the problem, the possibility still exists that the national debt will double in the complete bail out.
GW once again shows that he will do absolutely the wrong thing, every time by signing it.
When they sum up this period in our nation's history it can be done by with word-- CLUELESS.
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