House Republicans move to end foreclosure aid program

[OhioChick]

Source: AP

Thursday, February 24, 2011, 11:17 AM

WASHINGTON -- A House committee plans to write legislation next week to end the Obama administration's flagship program for helping struggling homeowners avoid foreclosure.

The Republican-run House Financial Services Committee said the measure would terminate the Home Affordable Modification Program. The Treasury Department has acknowledged the program won't meet its original goal of preventing 3 million to 4 million foreclosures, and last month a federal inspector general said it has been a failure.

The bill comes at a time when Republicans are pushing for deep spending cuts. They have already pushed legislation through the House cutting this year's spending by $61 billion, despite opposition by President Barack Obama and congressional Democrats.

Financial Services Chairman Spencer Bachus, an Alabama Republican, said it's time to pull the plug on programs that aren't working.

Read more: http://www.cleveland.com/business/index.ssf/2011/02/hou...

[liberal N proud]

1. And the wealthy continue to get tax cuts

[maxsolomon]

2. of course they did.

cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military. cut the military.

[Robbien]

3. The only people being helped by HAMP are banksters

Banksters make a good profit from HAMP. It doesn't do much about homeowners losing their homes.

[Autumn]

6. You make a good point there

I had a couple of neighbors who tried to get help through that. The bullshit they had to go through was ridiculous. Both properties are sitting empty today.

[PatSeg]

10. Yep, HAMP was more for the banks

than it was for the homeowner. I am one of many who were taken for a ride by the banks through HAMP. I'm sure it was started with good intentions, but the banks just can't be trusted.

[aquart]

4. Do they assume only Dems are in foreclosure?

So it's okay for them to be begging in the streets without legal addresses?

[Drale]

5. Has any democrat ever stood up on the house floor

cleared his throat, pointed at the republicans and said "FUCK YOU!"? If not someone really needs to.

[louis-t]

7. It's not working because banks won't cooperate.

They are going throught the motions, dragging out the process for a year or more, hoping the homeowners will fail.

[SpiralHawk]

8. "You little people can eat shit and die. Sneer." - RepubliCorp & Cronies (R)

[RedCloud]

13. Wouldn't that type of eating phase out the republicans?

[bluestateguy]

9. Did that program really work at all?

I am certainly open to arguments that it should be discontinued.

[gmpierce]

17. it should be discontinued

At the start, the program was useless. After six months or so, the banksters and the service companies figured out how to use the program to really screw everyone who applied.

The guys who created it were morons, and the guys who took advantage of desperate people should be prosecuted for fraud -- but it will never happen.

[Bandit]

11. Surprised it took them this long to do this.

They will ALWAYS side with the Bankers.. ALWAYS

[KansDem]

12. "...it's time to pull the plug on programs that aren't working."

Well, let's start by ending the wars--they're not working.

And tax cuts for the wealthy--they're not working (remember "trickle down?")

...that should be enough to eliminate the deficit.

[eilen]

14. The ten people that were helped by this program

say thanks.

[dreamnightwind]

15. Hard to cry much about this one

This program was a sham, designed to help banks, not homeowners. There are probably better exposes of the program out there (and if anyone knows where they are, please post the links. I know I read more definitive info, couldn't find it in my links though).

This article discusses some of the issues:

Geithner Makes Shocking HAMP Admission: Federal Loan Modification Program Just a Ploy to Enrich Big Banks:
http://dailybail.com/home/geithner-makes-shocking-hamp-...

edited to add a couple more links:

Banks to benefit most from White House program to help fight foreclosures
http://www.democraticunderground.com/discuss/duboard.ph...

Anatomy Of A Failed Foreclosure
http://www.huffingtonpost.com/2009/12/07/anatomy-of-a-f...

[Betty]

16. that program was a fucking joke

I applied and after sending in more paper work than I could have imagined possible, I got rejected because IT IS TOTALLY UP to the loan servicer as to whether you qualify. Also, they got paid $1500 for their troubles, I found out later. The asshole who called me to tell me that I was rejected told me that it was their opinion that I can "afford" it. I pay close to 50% of my income into this mortgage because my income has gone down so much. According to the govt. website, the goal is to get the payment down to like 30% but since it is not up to the govt. (which has given these assholes tons of money to do this), the result is that they pocket the money and turn almost everyone down. Or they take people into the program on a trial basis and then reject them and put them into default because they were paying reduced payments during the trial period, and now have to pay the difference. It was such a shitty program that I doubt there was ever any serious intent on part of the govt. to actually help anyone.

[prolesunited]

18. I'm sorry for your experience.

But I agree that the program didn't help anyone for what I have read. I agree that it should end. Unfortunately, we won't get one that works to take its spot.