Are GSEs …Freddie and Fannie on Track to Collide
with Public’s Interest;
Hurtling Toward an Anti Trust Suit?
On or Off the Hook, Tax Payers Hang in The GSE’s (PUblic) Balance.
Preface: I hope that health care is not abused …used merely as a smoke screen …caused to serve as the excuse to avoid a better order and opportunity to address this equally urgent matter within the same context of a more urgent priority …one which must not be allowed to be the greater matter behind the curtain. Would not that be a paradox of a most unhealthy oxymoron …ranking right up there with military intelligence and or national security ….both of which might as well be prescription sleeping aides, ordered without the usual rather egregious disclaimers.
Hence; if the illness doesn’t kill you …the medicine will.
As is …
I have pasted a copy of a transcript of an e-mail which I sent to Dan Celia of “Financial Issues.org” http://www.financialissues.org/ which I wrote and sent him last Saturday …on New Year’s Eve.
As it were; I was on my way to attend my nephew’s wedding and was listening to AFA (American Family Association http://www.afa.net/ ) on the Bott Radio News Network, and …I just happened to catch Dan’s syndicated financial news broadcast …Financial Issues.
As I listened, it became apparent to me that here is a man who was speaking to address issues which I have been writing about …one in particular which I had just posted the week before.
So, naturally I was more than pleased to happen across Dan’s program. As it were, I …attentively listened to every word of Dan’s broadcast.
Dan’s material was so timely that I couldn’t help but respond to his program’s hard-hitting, straight forward material.
I found Dan’s points of view so refreshing that I wound up sending him the e-mail I mentioned earlier.
To highlight what kind of passion Dan has for his work, Dan responded by replying to my e-mail within a few hours. WOW! What an honor to be considered in such a timely fashion!
Yet, if Dan’s reply was not gratifying enough; today’s announcement that BOFA (Bank of America) would be buying back several billions of dollars worth of non-performing loans was the frosting on the cake.
See the following fresh report from the Wall Street Journal’s Digital Network:
It chronicles the details of BOFA’s buy-back from Freddie and Fannie.
But that is not enough. It is like a drop in the bucket or …the tip of the iceberg when you consider the shear enormity of the size of …of the likes of Freddie and Fannie Mae’s balance sheet are well in excess of (you fill in the blank) trillions of dollars.
Federal takeover of Fannie Mae and Freddie Mac
The GSEs are just a couple of reasons why Washington needs to raise the debt ceiling …and it has nothing to do with the privatization of the home mortgage securitizations industry.
Mortgage Daily.com is another good source of information on nation wide mortgage trends and statistics: http://www.mortgagedaily.com/Statistics.asp?spcode=google
You see, we tax payers are on the hook should the sluggish housing market continue in its downward slide.
You would think that by now, “…We the People …â€ would have taken more prudent measures not to avoid another disaster which have led us to the causes which are leading us to live through more danger than we initially faced going into this mess.
Out of the pan …into the fire.
As is, trends are continuing to threaten to take home prices down.
How timely are my comments? Well, how timely is public sentiment.
The power of which should be more than apparent …well enough to cause the GSEs …both Freddie and Fannie to clean up their books …and do so as quickly as possible …not without the least bit of coaxing from the likes of Michael Gheitner no less.
Regarding the ancillary shadow banking industry, just look at how much exposure to AIG we all still share in and along the same lines of this prevailing blind-eyed approach …to the ….too big to fail exemptions which these GSEs enjoy …the privilege “…We the People …â€ all share without so much as a word’s say?
I say; Fine kettle of fish!
I just hope that Congress will be as successful in dealing with this issue as I hope they will with health care.
Needless to say, one should not be allowed to overshadow the other …for both issues are equally weighty matters which should receive equal consideration by a shared measure of consideration in respect of priority and order.
Bottom line, they are joined at the hip by virtue of what they mean to the impact they in terms of the revenue each could generate when the economy is hitting on all cylinders.
None the less, we need not take this forced fed GSE matter become more and more of a bitter meal …without so much as a choice nor a say in the matter.
Here then is my e-mail:
> Hi Dan!
> I am a 1st-time listener.
> As such, I Just picked up on your show “The Best of Financial Issues” broadcast on AFR (?) carried on Bott Radio in the Wichita area.
> Bravo! Spot-on in regards to the GSEs …Freddie and Fannie.
> I am never amazed that when truth is spoken, power is released …the purpose in that power is the makings which never returns void.
> And so, I should also not be surprised that we are in harmony in our agreement’s unity.
> For you see, I write and maintain a blog site on which I recently posted a piece which focuses in part on the ills of these GSEs.
> In Oct. recently, I refinanced my house …and before I could blink …my note was sold to into one of the F’s mess.
(Actually, I was notified that this had taken place at signing.)
> I would suppose it impossible to expect that the Obama administration would call for an anti-trust suit to break up their balance sheets.
> But maybe the Tea Party could take up the call and make a charge to assail both parts (both sides of the isle in Washington) whose lesser wills have promoted this mess.
> After all, if our major body politic won’t take up the fight for “…We the People …” Maybe that which is least will wash our feet instead.
> Such would ( no doubt go far to ) regenerate the will to address the missing jobs …the lost jobs as well as those jobs which have been placed on hold in an atmosphere of uncertainty.
> Such would (also) more than aide in the liquidation of the excessive housing inventory.
> Such would also provide private capital incentives to re-ignite the MBS industry on a more evenly distributed efficient platform …again in the private arena.
> Since when did it become pc for Uncle Sam to believe …that it is in the public’s better interest for the public to shoulder this mess …leaving the tax-payer with the burden to carry …the impact of those its deemed NOT too-big-to-fail?
> Is that supportive of …a true free market basis?
> Isn’t about time for government to fulfill its mandates to a better end …one less self serving?
> Since when did no expense is too large become PC?
> If you read my blog …which may be the case, I think you will find we share much in common with many of our same followers.
> To this end, I am extremely proud off your work’s efforts.
> Lastly, as you will be in Wichita, I will look forward to seeing and hearing you.
> I shall also look forward to meeting you should I have such good fortune.
> Until then, keep up the good fight!
> All the best,
> Bill Landman
As I mentioned, Dan was kind enough to reply within a few hours.
As is, I am totally stoked. I can not wait to hear what Mr. Dan Celia has to say when he visits Wichita on Tuesday, January 18, 2011.
So, if you want to be in attendance, the details may be found on Dan’s website:
Wichita, Kansas Town Hall Meeting
Tuesday, January 18, 2011 at 7:00 PM
West Evangelical Free Church
1161 N Maize Rd
Wichita, KS 67212
I will see you there!!!
All the best,