Wednesday, May 13, 2009

The Mortgage Crisis: Where's Carper when you need him?

I'm really disappointed with Senator Carper's vote on this one. A judge should be able to distinguish whether a case involves fraud or not. Punishing everyone for the indiscretion of a few makes no sense at all.If you are disappointed too, pick up the phone and call his office at 202-224-2441.

US Senate defeats mortgage relief measure

WASHINGTON (AFP) – The US Senate on Thursday defeated a measure that could have helped millions of Americans avoid foreclosure by letting bankruptcy judges cut their mortgage payments.

The White House-backed proposal, an amendment to another bill, fell in a 51-45 vote that failed to reach the 60-vote threshold needed to ensure passage.

The legislation, popularly known as the "cram-down" bill, drew fire from the banking industry and from Republicans who alleged that it lacked safeguards to prevent borrowers who used bad judgement or outright fraud from benefiting.

Assistant Democratic Senate Majority Leader Dick Durbin, the measure's chief champion, expressed disappointment at the result but voted to push the issue "until the Senate decides to put the interests of homeowners above the interests of bankers."

"We?ve given the bankers who got us into this crisis every opportunity to responsibly address this crisis and they have failed. I?ll keep working to give homeowners every legal means to save their homes," said Durbin.

Durbin said more than eight million homeowners were at risk for foreclosure.

The US House of Representatives had approved its version of the legislation by a 234-191 margin on March 5.

No comments: