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Politics : President Barack Obama -- Ignore unavailable to you. Want to Upgrade?

To: bentway who wrote (126216)	11/2/2012 2:05:26 PM
From: RetiredNow	Respond to of 149317

I know. But borrowing costs at those levels are never available to the 99%. And the benefits of low borrowing costs are never weighed in the balance against the costs of such low interest rate policies. They lead directly to excess credit and currency expansion. And if done in response to a financial crisis, then it leads directly to the inflation of another bubble larger than the one that just burst. It is exactly like jumping out of a fire and into a frying pan. We need to break the vicious cycle and get back to organic growth through real capital formation....savings and investment...possible only within a sound monetary policy.

To: bentway who wrote (126216)	11/2/2012 4:51:26 PM
From: Sr K	Respond to of 149317

That's what the Fed wants. Most people don't look at the value of their house as much as they look at affordability and their monthly payment. If there were no barriers to refinancing, most people who are underwater and having difficulty making their payment, if they could refinance at today's rates, could afford to make the payment. For those 5%, 10%, and 15% underwater, the lower interest rates bails them out - if approval of the lower rate was a simple 1-3 page document with no upfront costs. It's a no-brainer, but Congress has stood in the way as have various intermediaries. And it applies to everyone, including those who can afford to make their current payment. Securitization is the barrier.