I just got done reading an article about President Bush’s plan to bail out people that are no longer able to keep up payments on their mortgages. Many of the people that the President’s plan covers took mortgages with interest rates that increase substantially after the first two year teaser rate expires. This is the same idea the credit card comapanies came up with a few years ago to get you to transfer your business over to them. They took your balance and gave a very low interest rate for a year and then increased it to above the regular going interest rate and increased penalties for being late on payments. Oh yeah, and let’s not forget the Cable TV company. When you first hook up with them it’s a ridiculous low monthly payment for the first three months and then after you get used to it and change all your email addresses over, wham! They then sock you with the full price with all the taxes and fees on all the other non essential items that go to providing cable service to your home.
Ok, I got you all worked up, breathing hard, and wanting to choke some credit card or cable company representative didn’t I? Well, it shouldn’t make you angry. The companies provided you with all the information about what you were getting into when you signed up didn’t they? Yes they did, they have the paperwork to prove it and so do you unless of course you threw that contract away and never read it. The point I’m making here is this; you are all adults and you are all responsible for your actions. If you sign an agreement or contract you have to live up to that agreement unless of course the other side breaks their agreement with you first and then it becomes a legal issue between you and the other party.
The President now is proposing that we as taxpayers bail out a segment of the population that weren’t responsible and took out loans they knew they’d never be able to pay back when the lower rate expired and the ridiculously higher rate kicks in. Those low rates attracted speculators and they built or bought houses for dirt cheap and figured they would hold onto them long enough for the value to go up and then dump them onto the market before the higher rates kicked in. The problem with that was the housing market slowed down and they weren’t able to sell the houses for the huge profits they imagined and now they're stuck having to pay for the mortgages at the much higher rate. That is unless they can get some taxpayer fool to pay for it. That’s just what they’re trying to pull here and they’ll get away with it because now the democrats are getting into the fray. The democrats are going to say that the mortgage companies that made these loans did so dishonestly and the taxpayers should pick up the tab.
Right now the President is proposing that the taxpayers will have to pick up the tab for 80 or so thousand mortgages but the democrats are already saying the President's plan is inadequate and are going to want to at least triple or quadruple that number of mortgages. The democrats want to be able to say with a straight face "we did something for poor irresponsible people that were taken advantage of by evil lending institutions" when the case actually can be stated; the democrats are going to take advantage of taxpayers and make us pay for people that are irresponsible, again!
Neither Bloody nor Bowed
They say of me, and so they should,
It's doubtful if I come to good.
I see acquaintances and friends
And making enviable names
In science, art, and parlor games.
But I, despite expert advice,
Keep doing things I think are nice,
And though to good I never come-
Inseparable my nose and thumb!