THE TV STATION PUT THE WRONG WRITTEN STORY WITH THE VIDEO INTERVIEWING ONE OF OUR MEMBERS AND ME. CLICK THE VIDEO TO SEE THE INTERVIEW WITH RAND WHITNEY WHO IS GIVING HIS HOUSE BACK TO THE BANK.

The video is short and does not completely reflect the viewpoints we wanted to make in the interview.  For a short piece, they got pretty close.  King 5 does a good job and trying to tell this whole story and let people know what they can do in such a short time is almost impossible.

The incorrect story attached to this video is actually interesting. What the president is now proposing is that FHA will refinance a  couple million of the 16 million underwater homes in America. This would have been a much better idea three or four years ago. Now it is too little, too late.

He is not going to get congress to go along with this idea because he is planning to put the American Taxpayer on the hook for even more mortgages that will ultimately go into default and foreclosure which just adds more to the federal debt and increases the balance sheets of the major banks.

What he really wants is for you to pay about 5% interest (3.9% interest plus 1.1% FHA mortgage insurance) on a 20 year loan. Your payments won't go down much and you will be paying the principle on the loan down faster. In effect, you will be paying your own underwater amount back to the banks and investors, but you will be doing it faster.  With this plan you might be able to sell your underwater home for what you owe in 8 years instead of 10 or 12. 

Again, they are trying to get more money to the banks, all with a guarantee from the taxpayers this time using the Federal Housing Administration.

If you believe it is only the Republicans that are protecting the banks, THINK AGAIN!