Forget Your Mortgage
Congress is moving at light speed
to get legislation in before the
holidays. The latest measure to
pass is a sweeping bill that will
restructure government economics
and oversight. This bill is designed
to oversee mortgages, ban "predatory"
lending, and declares that no company
is so big it requires a taxpayer bail-
out.
It passed with a slim majority of
the House going for it. This bill is
going to shake things up significantly.
There’s just one minor thing it left
out of the equation. It does not
authorize federal judges to restructure
mortgages.
The debate has raged heatedly across
both parties. Some argue that allowing
judges that power would increase abuse
of the judicial system and ruining any
chance of recovery for the housing
market.
The Mortgage Bankers Association in
particular claims that had the bill
passed with the judicial amendment,
costs would have actually increased
for borrowers.
However, the majority of the House
felt that the other measures were a
step forward in insuring the economy
against future meltdowns.
Among the key elements of the bill:
- Lenders must ensure that borrowers
have the ability to repay their loans.
- It creates an organizations whose
sole purpose is to protect consumers
from abusive financial products and
borrowing instruments.
- Increases oversight of companies
important to the economy and arranges
for them to safely shut down without
the need of bailouts.
- No longer will executives have total
control over the size of their bonuses.
- Provides the government the ability
to enact reforms of the Securities market.
- Requires all hedge funds to be registered.
Such measures might go a long way towards
stabilizing the current shaky economy.
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http://COShortSaleSpecialists.com Jeri Groves
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SJOLLEY
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bwhipple
