Walt wrote this letter today to send to the President, our Congressmen, the major news networks, etc. I doubt that they will use his idea, but you never know! It's certainly as good or better than anything any of them have come with so far. What do you think? Sound reasonable to you? Ok, here's the letter....................................
September 30, 2008
President of the United States
United States Senate
U.S. House of Representatives
Subject: Main Street Mortgage Mitigation Measure
Gentlemen and Ladies:
With all due respect, I would like to submit, for your consideration, my suggestion for an alternative relief plan for the financial crisis currently facing our country.
This plan would still require the disbursement of a very large sum of money, the same 700 Billion dollars estimated for the measure that was defeated Monday. However, rather that distribute the money to the financial marketeers on Wall Street, I suggest that the money be distributed in a more direct manner to the lending institutions with the stipulation that the money be used to assist the existing mortgagees with their payments. The money would be allocated to people for home mortgage payments on their primary residence, up to a maximum of $10,000 per mortgage, with the following priorities:
1. First, or primary, mortgages that are facing foreclosure, with the intent that the foreclosure action would be delayed by the number of months covered by the $10,000 payment.
2. First, or primary, mortgages with a principal balance equal to or less than $10,000; with the intent that the mortgage would be paid off completely.
3. First, or primary, mortgages with a principal balance greater than $10,000; with the intent to refinance, either reducing the monthly payment for the same term or shortening the term for the same monthly payment.
4. Second “home equity” mortgages on the primary residence, following the priorities listed above.
In theory, with the 700 Billion dollar funding and a $10,000 limit per mortgage, this measure would provide some relief for 70 Million mortgagees (or maybe more, depending on the number of mortgages paid off with principal balances less than $10,000). I don’t know how many outstanding home mortgages exist in this country; but if there are funds remaining after all eligible mortgagees have received the assistance described above, the fund balance could be distributed in one of the following ways:
1. Increase the allocation limit per mortgage, applying to the same listed priorities.
2. Do not use the leftover money, returning the money to the Treasury and thereby reducing the overall debt.
This measure would strengthen the economy with a “perk up” approach, rather than the “trickle down” theory that has not worked so far. By inserting the money closer to the grassroots level and reducing the mortgage payments that need to be made, you would be giving the average consumer more money to spend on other consumer items (like automobiles or appliances, for example). In turn, this would benefit the businesses that provide the goods and services to be purchased by these consumers. Furthermore, the lending institutions themselves would benefit from the payments made with the funding from this measure, being able to pass the money forward with new mortgages and other loans. In my humble opinion, this approach has the potential to be far more effective than any of the proposed tax rebates or “incentive” refunds I have heard of so far.
Of course, we consumers share your concerns over the handling of the nation’s financial markets, wanting to see better regulation of the people and firms handling our money. This includes avoiding further “risky” loans to people who are obviously trying to live beyond their means. Also, the pay and bonuses for the top executives responsible for the management of our money should be limited or tied to their effective, competent performance.
Please set aside the partisan rhetoric and posturing, and consider this or another reasonable and acceptable proposal for addressing this critical situation without further delay.
Respectfully,
(his name and address)
__________________
Be kinder than necessary because everyone you meet is fighting some kind of a battle ! ! ! !
I think Walt is a genius, but I may be biased as he was smart enough to marry you.
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If my people, which are called by my name, shall humble themselves, and pray, and seek my face, and turn from their wicked ways; then will I hear from heaven, and will forgive their sin, and will heal their land.
2 Chronicles 7:14 KJV
He hath shewed thee, O man, what is good; and what doth the LORD require of thee, but to do justly, and to love mercy, and to walk humbly with thy God? Micah 6:8 KJV
Beloved, now are we the sons of God, and it doth not yet appear what we shall be: but we know that, when he shall appear, we shall be like him; for we shall see him as he is. 1 John 3:2 KJV
I think Walt is a genius, but I may be biased as he was smart enough to marry you.
Awww shucks. I'm so honored. I'm blushing.
But just for the record, I've always KNOWN that Walt is a genius. Seriously! He is by far, the most intelligent person I have ever known! And to think that all of that intelligence could have been gone two years ago when he was without blood and oxygen for 105 minutes to his brain and other organs. ISN"T GOD AMAZING!!
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Be kinder than necessary because everyone you meet is fighting some kind of a battle ! ! ! !
But just for the record, I've always KNOWN that Walt is a genius. Seriously! He is by far, the most intelligent person I have ever known! And to think that all of that intelligence could have been gone two years ago when he was without blood and oxygen for 105 minutes to his brain and other organs. ISN"T GOD AMAZING!!
I think the problem is, some of the guys trying to fix the economy are brain dead, (tic) kinda.
Thank you Jesus for healing Walt! I agree God is Amazing.
__________________
If my people, which are called by my name, shall humble themselves, and pray, and seek my face, and turn from their wicked ways; then will I hear from heaven, and will forgive their sin, and will heal their land.
2 Chronicles 7:14 KJV
He hath shewed thee, O man, what is good; and what doth the LORD require of thee, but to do justly, and to love mercy, and to walk humbly with thy God? Micah 6:8 KJV
Beloved, now are we the sons of God, and it doth not yet appear what we shall be: but we know that, when he shall appear, we shall be like him; for we shall see him as he is. 1 John 3:2 KJV
I have wondered why they don't help the homeowners rather than the companies but then maybe they felt that would have too much of a domino effect. But it seems like a good idea to me. Many people simply can't pay after a huge interest hike. Why not let these people refinance at a better interest rate rather than foreclosure?
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Those who say it cannot be done should not interrupt the people doing it. ~Chinese Proverb
When I was young and clever, I wanted to change the world. Now that I am older and wiser, I strive to change myself. ~
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