U.S. Mortgage Banking Crisis Persists $5 Trillion Outstanding

MANHATTAN, N.Y. - Dec. 11, 2015 - PRLog -- “Shaky Ground” that’s topping the New York Times best sellers list; a detailed look at the still UNSOLVED mortgage banking crisis that shook the world.

“To make things worse, the government decided to “sweep” almost all the duo’s profits into its own coffers, to be used as a slush fundfor general government expenses. As Treasury Secretary Jacob J. Lew said in congressional testimony this spring, “As a practical matter it’s what has helped us reduce our overall deficit but may hurt us long-term.”

If there is another downturn in the real estate market and Fannie and Freddie suffer losses on the $5 trillion in outstanding securities, taxpayers will again have to foot the bill. Jim Parrott, a senior adviser with the National Economic Council in the Obama administration and now a fellow at the Urban Institute, wrote that the current system was “the worst of all worlds: It attracts too little private capital, provides too little mortgage credit, and still poses too much risk to the taxpayer.”

The U.S. debt issue is a reflection of decades of do-nothing-politics in Washington DC. People are fed-up looking for alternative leadership schooled in business fiance like Donald Trump. Fannie Mae and Freddie Mac are yet another financial crisis that remains. It’s the $5 Trillion albatross still hanging over the American taxpayers added James Dean @ iHumanMedia.com. I recommend every American should read Bethany McLean’s book, “Shaky Ground”.

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