Posted on 12/17/2009 3:01:23 PM PST by EBH
And the total risk they pose to the taxpayer far exceeds that of the big banks. Fannie and Freddie, in the final days of the year, are even said to be negotiating with the Treasury about greatly expanding the money available to them.
Though the four are not in all the same businesses, they were caught in one of the same traps: They sold mortgage guarantees — in some cases to each other. Now when homeowners default, as they are doing in record numbers, these companies are covering the losses. Essentially, taxpayer money to these companies is being used partly to protect banks and other investors who own the mortgages.
(Excerpt) Read more at nytimes.com ...
doodyhead dood ping
I’ve been around a while...just what kind of ping is that?
I meant doodyhead Dodd.
Ah! Typo, make em all the tyme. ;)
Dooooooood!
First, to shut down this hilarity, know that I don’t deal in doody, doo-doo, or Dodd! So there!
Now, anybody got any ideas for dissolving the Community Reinvestment Act that has so damaged all our investment financing businesses and agencies, getting government out of virtually all business, and letting stupid behavior yield failure, no matter how large the collapse may be?
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