Obama To Require Lenders To Eliminate Monthly Mortgage Payments For Unemployed

Obama readies steps to fight foreclosures, particularly for unemployed
Washington Post
The Obama administration plans to overhaul how it’s tackling the foreclosure crisis, in part by requiring lenders to temporarily slash or eliminate monthly mortgage payments for many borrowers who are unemployed, senior officials said Thursday.
Banks and other lenders would have to reduce the payments to no more than 31 percent of a borrower’s income, which would typically be their unemployment insurance, for up to six months. In some cases, administration officials said, a lender could allow a borrower to make no payments at all.
The new push, which the White House is scheduled to announce Friday, takes direct aim at the major cause of the current wave of foreclosures: the spike in unemployment. While the initial mortgage crisis that erupted three years ago resulted from millions of risky home loans that went bad, more-recent defaults reflect the country’s economic downturn and the inability of jobless borrowers to keep paying.
The administration’s new push also seeks to more aggressively help borrowers who owe more on their mortgages than their properties are worth, offering financial incentives for the first time to lenders to cut the loan balances of such distressed homeowners. Those who are still current on their mortgages could get the chance to refinance on better terms into loans backed by the Federal Housing Administration.
The measures have been in the works for weeks, but President Obama is finally to release the details days after his watershed victory on health-care legislation.
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Wild Thing’s comment……
“requiring lenders”
Is this America? Where does this man get the power to do this? It does not come from God!
… temporarily slash or eliminate monthly mortgage payments …
That would mean to force lenders to forgo monies that were legally contracted to be paid back.
“Peter, give that to Paul. Now! Until I tell you you can stop.”
He had no authority to fire a CEO of a company. But he did. He had no authority to steal two auto companies, rob people of their bond investments, give those to his friends in the unions. But he did. Shall we add to the list????Obama does what he wants and no one stops him.
Obama takes the destructive remedy every time. Nothing coming out of Obama’s Whitehouse is constructive. He is working to completely destroy our economy so that the people will be so desperate they will accept the socialism that is being brought into the light.
DON’T TREAD ON ME!