Posted on 09/11/2010 4:46:09 PM PDT by Libloather
Bankers urge gov't to pull plug on Fannie, Freddie
By Corbett B. Daly
Published September 08, 2010
WASHINGTON (Reuters) - The federal government should take mortgage finance giants Fannie Mae and Freddie Mac off life support sooner rather than later, the Mortgage Bankers Association urged Wednesday.
The bankers said Fannie Mae and Freddie Mac should move beyond the "conservatorship" that started two years ago and be placed "receivership."
"Fannie Mae and Freddie Mac have already moved well beyond the points where any other financial institution would have been put into receivership," MBA Chief Executive John Coursonand MBA Chairman-elect Michael Berman wrote in a seven-page letter to the Federal Housing Finance Agency.
As the financial crisis unfolded in 2008, then-Treasury Secretary Henry Paulson effectively took control of the firms, although he stopped short of full nationalization by placing them in a "conservatorship" to keep them off the federal balance sheet.
The government controls 79.9 percent of Fannie Mae and Freddie Mac, just shy of the 80 percent threshold for placing them on the federal books. Conservatorship is intended for firms that could be restored to health, while receivership is the end-of-the-line liquidation phase.
"The current situation is not unlike a brain dead patient who is being kept alive indefinitely by artificial life support," Courson and Berman wrote.
(Excerpt) Read more at foxbusiness.com ...
Yeah, pull the plug on Bwanny and Dodd.
Gotta hurry and bury the evidence. This aint Waco, you can’t just burn it all up and claim ignorance!
Also pull the plug on the $1 Billion going to Mexico so they can drill in the gulf while our rigs are under a moritorium. I swear, this President is our to ruin this country.
Bankers: Quick, gotta cover up our tracks! The Republicans are coming!
I heard that Chase just lost a big lawsuit with Fannie regarding the lack of documentation Chase has on mortgages backed by Fannie.
Minor things like the lack of the actual title or signed mortgage paperwork.
More money for banker bailout loans!Get rid of bankers and the federal reserve so they/vultures have no pie to eat from.
The real problem here is they can’t shut it down. The purpose of Fannie and Freddie today has little to do with mortages, but to act as a conduit for Quantitative Easing.
If true that's huge. Can you by any chance tell me where you read that?
Thanks.
L
Pull the plug on a financial rat-hole GSE sucking money out of our pockets for totalitarian crooks without anyone’s head on a pike? You financial oligarchs see no evil, hear no evil, speak no evil.
Another asinine remark from someone who has no clue of what he is talking about.
Fannie and Freddie should die. But if they go on balance sheet, we will be FORMALLY revealed to have, by far, the highest debt to GDP ratio in the world. 90% is consider the breaking point, we are at 120%.
For the bank haters, you should know that Obama and the Dems have really screwed them over (Even under Bush).
Do some research. Look up John Taylor and the Community Reinvestment Act Coalition.
Taylor’s representatives visit all banks and demand that they invest in a fund called CRAIX. If they don’t, they get sued for racial discrimination and the labor unions and other deadbeats picket the headquarters and branches.
John Taylor has cleared at least $10 million for the fund.
He is an ex labor union “recruiter.” And out of Barney Frank’s district.
Look at a conservative college economics professor eat his lunch on Kudlow.
http://www.cnbc.com/id/15840232?video=1587245714&play=1
Thanks for the post/info/link. Good stuff.
My point is the bankers should be screaming for the heads of those who pushed these mandates on them, much like the states or we the people should be screaming for the heads of these collectivist’s representatives pushing fed mandates for mythical “victims”...instead of yukking it up with them...enabling totalitarians.
They should never have allowed the banks to sell their loans to these government agencies in the first place. If they wrote it, they should have to live with it, or find a willing buying in the private sector to take on the risk.
"I'm the only thing standing between you and the pitchforks." President Obama, April 2009
Speaking of heads on pitchforks. Thanks.
Another asinine remark from an idiot liberal on FR and FR has been invaded with these ASSWIPES for the past 10 years!
No wonder so many people have left this site.Stuff it pal!
L
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