Senators Continue Debate On Mortgage Relief Bill
Addressing the nation’s home foreclosure crisis has produced a breakthrough in the United States Senate as Democratic and GOP leaders defused a potential filibuster. Majority Leader Harry Reid and GOP Leader Mitch McConnell of Kentucky agreed to bring a bipartisan bill to the floor as early as Wednesday instead of a Democratic plan that stalled a month ago.
Opponents argue that the provision rewriting the bankruptcy code would allow borrowers to effectively rewrite their mortgage contracts and would prompt lenders to tighten their standards and raise interest rates. The legislation is likely to draw on elements of the Democratic plan such as letting states issue $10 billion in tax-exempt bonds to refinance subprime loans and permitting homebuilders and other money-losing businesses to reclaim previously paid taxes.
search for : home foreclosure
