Rescue bill won't curb region's foreclosures, experts say

[PatSeg]

By Jim Wasserman and Dale Kasler

<The provisions for struggling homeowners in the Wall Street rescue bill signed into law Friday are largely voluntary and not enough to curb foreclosures in regions such as Sacramento, some analysts say.

The bill authorizes the government to buy $700 billion in mortgage-backed securities tied to poorly performing home loans. But it has a secondary aim: to keep people in their homes.>

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<"The government buying these securities does not allow them to substantially expand loan modifications," said Paul Leonard, California director of the Center for Responsible Lending, a consumer advocacy group.>

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<"If you don't firm up the bottom of the housing market, the bottom of the pyramid will be like quicksand that will keep pulling down the structure," said Timothy Canova, economics professor at Southern California's Chapman University School of Law. "I think in six months to a year they will be back asking for another enormous bailout because it didn't deal with the root causes of the problem.">

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<If lenders can, "in one fell swoop, get rid of a couple hundred deals rather than negotiating each one, I'm afraid that could make it easier for them, again leaving the homeowner with no rescue," she said.>

Much more: http://www.sacbee.com/103/story/1287910.html

Well, that was $700 billion well spent!

[CountAllVotes]

1. where are these loans located?

no one seems to know where they are located nor how much they are/might be worth.

This is the primary problem I've had with this toxic piece of legislation since it was first brought up. Nothing changed about this.

Identify the mortgages first and ask later for help if needed. We blew $700 billion on an unknown. How stupid is that I ask?

:dem:

[PatSeg]

2. Details?

We don't have time for DETAILS! The sky is falling.

I think we just got screwed big time.