Thursday, October 30, 2008

Question(s) of The Day - FDIC Freebie?

The proposed FDIC homeowner bailout initiative has been reported to have an objective of reducing monthly payments for delinquent borrowers to a level that they can afford… Won’t this simply encourage others to become delinquents?

Why spend 50% of your take home income on the mortgage when, with the government’s help, you can spend just 30%?

Is implementing this type of policy the proper role of the FDIC?