NYT: Obama Admin didn't fight to help prevent housing foreclosures

[Captain Hilts]

My brother is in danger of losing his house, so this topic is near and dear to me. Here's hoping the Admin's plan works.

http://www.nytimes.com/2009/05/04/opinion/04mon2.html

As Foreclosures Surge ...

The Obama administration sat by last week as 12 Senate Democrats joined 39 Senate Republicans to block a vote on an amendment that would have allowed bankruptcy judges to modify troubled mortgages.

Senator Obama campaigned on the provision. And President Obama made its passage part of his antiforeclosure plan. It would have been a very useful prod to get lenders to rework bad loans rather than leaving the modification to a judge.

But when the time came to stand up to the banking lobbies and cajole yes votes from reluctant senators — the White House didn’t. When the measure failed, there wasn’t even a statement of regret.

Mr. Obama’s plan to keep struggling Americans in their homes now relies on lenders to voluntarily rework bad loans. The plan provides ample incentives, including payments to servicers who successfully modify loans and, in some cases, payments to mortgage investors who agree to modifications. Whether that will be enough remains to be seen.

[ananda]

1. Just so sad.

So much for the sort of change that helps
people keep their homes.

[babylonsister]

2. They might have realized it was a losing battle. Look how many

Dems voted in their own best interests.

[Captain Hilts]

4. Yes, that's possible, but as was the case with some bills in the House...

I would have liked to see some anger from Pelosi.

Same here. I don't know that the results would have been any different, but I'd like to see some fight from them.

[babylonsister]

7. Maybe he's picking his fights. I know,

that's not a good answer, but this admin has so many fights to confront. Hopefully this will be revisited. And I'm sorry to hear about your bro.

[Captain Hilts]

8. Yes, that's entirely possible. Very likely. He's got a lot on his plate. nt

[atreides1]

5. It's only a battle

If you actually put up of some kind of a fight, like they did at the Alamo.

They knew they were going to lose, yet they kept fighting, unlike the White House.

[atreides1]

3. "voluntarily"

Hasn't that been the Repuke watchword for everything from Wall Street to food processing?

It didn't work then and it sure as hell won't work now!

[brentspeak]

6. He refused to use his bully pulpit

[Aloha Spirit]

9. the White House released a statement of policy on this...

Last Thursday:

"The Administration also supports appropriately tailored bankruptcy legislation to provide a
mechanism for homeowners who are out of other options to file for bankruptcy and implement a
responsible plan to pay the debts that they are able to pay. Notwithstanding the Senate vote on
the Durbin Amendment, the Administration looks forward to working with the Congress to
address this issue."
http://www.whitehouse.gov/omb/assets/sap_111/saps896s_20090501.pdf

My suspicion is that the big banks are swallowing a large pill this week with the stress tests and that the WH will support an amended cramdown bill after the dust settles.

[Captain Hilts]

10. We'll have to wait and see. I wish it were a higher priority with everybody. nt

[Thrill]

11. Blaming the Administration for weak chicken little Dems in the Senate?:

[DrToast]

12. Good. Cramdown is a bad idea.*

[symbolman]

13. I know the feeling, and I am Pissed at those who screwed us

My wife just flew halfway around the world forced to settle for Chapter 7, after they made it impossible to follow thru on a Chapter 13, a potentially last ditch effort to keep our home.. It's Gone, the home my 4 year old grew up in from birth, Gone..

If not for the generosity of DUrs, and especially our guardian Angel "williesgirl" we'd be in the streets, plus I just had surgery for a long term life- threatening organ removal.. If not for the wonderful DU family there's a good chance I'd have died in the street, seriously..

The RW don't seem to understand that these are REAL People suffering, potentially DYING while they play, "Which Bank is going to pad my bank account Next?"

If it had been my wife instead of me I damn sure would have considered making a "pound of Flesh" withdrawal.. This is a powder keg situation, and they're all running around with road flares like it's the Fourth of July..

Assholes

We need to organize these Foreclosure folks and make their Political life Hell in Congress.. But they know we can't defend ourselves, and that's the worse kind of Animal, pretending to be a Human..

They need to remember that the most dangerous creature on the planet is a person who has nothing left to Lose.. Walter Chronkite nailed it, said that was the basis for Terrorism.. I feel like WE have been Terrorized by Banks & Politicians..

My condolences to your loved one, wish them luck