Obama To Address Foreclosures

February 16. 2009

President Barack Obama (center)

After signing the February 2009 Stimulus bill into law, President Barack Obama will turn his attention to the ongoing foreclosure crisis in America that has not relented. A few banks, such as Bank Of America, Citibank and JP Morgan Chase, have agreed to temporarily halt foreclosures. However, some banks like Countrywide have not.

Some banks are still hastily foreclosing on homes and not working with homeowners. In light of the fact house prices sit at record lows, they will not recoup the loan amount on many properties, through standard courthouse foreclosure auctions. Therefore rushing to auction off people's homes will only burn banks in the end.

Others homeowners are being given unfavorable loan readjustment terms that will guarantee a lifetime of financial servitude, with some banks adding on massive sums at the end of the mortgages.

Considering the government took a lot of "toxic debt" off the banks' books, they could be kinder to consumers, as it is the American people's tax dollars that rescued them, after said lending institutions greedily gouged consumers into poverty and bankruptcy.