In a news brief on Thursday’s CBS "Early Show," co-host Russ Mitchell reported: "Homeowners struggling to pay the mortgage may soon be getting help from Congress -- Congress, rather, but efforts may fall short." Correspondent Wyatt Andrews went to explain why the measures may not help enough people: "Senate leadership believes it finally has a tentative deal in place to help some, but certainly not all, distressed homeowners stay in their homes...Senate Democrats wanted a much larger package, reaching tens of thousands more homeowners, but compromised with Republicans to get this deal done."
Andrews went on to describe the overwhelming desire for a government bailout plan while also pitting Wall Street against main street: "As Congress took off for the last two weeks, both parties took heat at home for doing nothing, letting average Americans absorb the loss of their homes while losses at Bear Stearns, $29 billion worth, were being absorbed by the Fed." Andrews followed with a clip of Democratic Congresswoman Carolyn Maloney: "Wall Street has been helped. Now it's time to help main street."
At the end of the segment, Andrews proudly declared: "...here's what's changed. According to Senate Banking Chairman Chris Dodd, inaction by the Congress at this point simply isn't an option."
Here is a full transcript of the segment:
7:07AM SEGMENT:
RUSS MITCHELL: Homeowners struggling to pay the mortgage may soon be getting help from Congress -- Congress, rather, but efforts may fall short. CBS News Correspondent Wyatt Andrews has details. Wyatt, good morning.
WYATT ANDREWS: Good morning, Russ. You're right, under tremendous public pressure to finally get something done about the housing crisis, Senate leadership believes it finally has a tentative deal in place to help some, but certainly not all, distressed homeowners stay in their homes. With several thousand homes still going into foreclosure every day, Senate leaders have put the rush on a package of ideas to stop the downward slide in home values.
CHRIS DODD: The confidence building was a critical issue for us here.
ANDREWS: Some of the details include $10 billion for states to help refinance subprime mortgages. $4 billion for localities to buy homes in foreclosure. And $100 million for counseling to help homeowners to avoid default. The biggest idea for home buyers is a $7,000 tax credit for anyone buying a new home, a home in default, or a home in foreclosure. Senate Democrats wanted a much larger package, reaching tens of thousands more homeowners, but compromised with Republicans to get this deal done.
DODD: This effort that we've put into the last several days I think is a major step in the right direction of offering some real hope to people on main street.
ANDREWS: As Congress took off for the last two weeks, both parties took heat at home for doing nothing, letting average Americans absorb the loss of their homes while losses at Bear Stearns, $29 billion worth, were being absorbed by the Fed.
CAROLYN MALONEY: Wall Street has been helped. Now it's time to help main street.
ANDREWS: The Fed Chairman, Ben Bernanke, appeared before Congress, telling members that recession is possible and that fixing the slump in home prices has to be a priority.
BEN BERNANKE: I do think Congress needs to be looking at housing. It's, I think it is the center of the situation, the center of the problem at this point.
ANDREWS: The full details of this Senate plan go to the full Senate today. And action on this, including debate over amendments, could take weeks. But Russ, here's what's changed. According to Senate Banking Chairman Chris Dodd inaction by the Congress at this point simply isn't an option.
MITCHELL: Wyatt Andrews on Capitol Hill. Thank you very much.
ANDREWS: Thanks, Russ.
—Kyle Drennen is a news analyst at the Media Research Center.
















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"both parties took heat at
April 3, 2008 - 15:51 ET by kg"both parties took heat at home for doing nothing, letting average Americans
absorb the loss of their homes while losses at Bear Stearns, $29 billion worth,
were being absorbed by the Fed"
This whole thing is a joke. Average Americans pay their bills. This is sub-prime Americans who borrow more than their home is worth. Who don not pay their bills. Why should the tax payers pay. Also is Bear Stearns now owned by the tax payers of the United States? Where were the feds when Enron went down?
"Forget change, I want improvement!"
Not unless...
April 3, 2008 - 15:59 ET by sarcasmoThey're the kind of tax payer that's also a shareholder of JP Morgan...The rest of us (i.e. taxpayers like me) get to guarantee those taxpayers' deal via eventual inflation, which will punish responsible savers in the private sector beyond just housing.
JMR
The tax & spend drug war looks racist in the real world.
I Agree, This Whole Thing Is A Joke!
April 3, 2008 - 22:24 ET by WhatsHappeningI agree. The Liberal/Bias Media and Democrats do not understand that the Bear Stearns deal/loan was not a bailout. Even if it was, it was a bailout for the Average American. You ask how? Because Middle Class (Average) America has almost all of their Retirement Accounts and Trillions of other Dollars in individual stocks and stock mutual funds. Therefore, by helping the economy and stock/credit markets this really helps out All Americans in general with their Finances and Job situations.
The Mortgage Bailout only helps out Deadbeats that do not pay much taxes if any at all and usually miss making payments in any type of economy.
So, the Bear Stearns' Loan helps the Average American; and the Mortgage Bailout helps Deadbeats but hurts the Average American by wasting their tax dollars. By the way, the Fed will probably make money for US taxpayers!
Let's see ... I bust my
April 3, 2008 - 15:52 ET by IgnatzJFahrquarLet's see ...
I bust my butt to keep a watchful eye on my budget. I'm never late with a mortgage payments. Mortgages (had a few from different houses or rate changes), by the way, that I reasearched, watched, looked for rate changes that would help me, etc.
Now, I'll have to "pay" because people are idiots. Don't get me wrong, some of these greedy banks are reaping what they sowed.
Of course, yet another handout for certain demographics.
"All generalizations are false, including this one.” Mark Twain
Net result: Higher taxes
April 3, 2008 - 15:53 ET by YahooWatcher...on people like me who actually live within their means, aren't strung out on credit cards, and pay their bills on time.
you bet
April 3, 2008 - 18:17 ET by forestMy wife and I just bought our first house. We waited until we had a good down payment and bought a place that we could afford. I have no interest in bailing out folks who recklessly bought over-priced houses with no down-payment and income inadequate to pay the bills.
"never reward unwanted behavior" - Dog Whisperer
Some irresponsible loan
April 3, 2008 - 15:55 ET by mattmSome irresponsible loan provider gives a loan to some irresponsible borrower and the rest of us have to pay for it?
Republicans shouldn't compromise with this, they should oppose it and call it what it is - welfare.
Givernment causes the problem
April 3, 2008 - 15:56 ET by 10ksnookerGovernment fixes the problem. Look up ADDI 2003 at the HUD site. The law passed by Congress essentially made home loan qualification discrimination. And loan they did, to all the flippers, all the illegals all the unqualified they could find.
So now where are we today?
Bread and Circuses ... weren't the Romans the first?
Funny, our watchdog
April 3, 2008 - 16:06 ET by mattmFunny, our watchdog journalists never seem to mention that...
So now where are we today?
April 3, 2008 - 16:29 ET by TheTruthSo now where are we today?
HUD web site 04/03/2008. . .
http://www.hud.gov/
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Once again a demonstration
April 3, 2008 - 16:00 ET by MassConservativeOnce again a demonstration of the dangers of Democrats in control. It is not about personal responsibility because the government is here to bail you out.
Learn to live with in your means and use your foreclosure as a learning experience.
"Obama '08 - He has the Wright stuff...and that is WRONG for America
If I take a 5M mortgage for
April 3, 2008 - 16:06 ET by TheTruthIf I take a 5M mortgage for a nice place on the ocean think the democrats will have my fellow citizens bail me out when I can’t make the payments? Just a thought :-)
not just houses!
April 3, 2008 - 16:13 ET by UndercoverConservativeyanno, the payments on my 07 Yamaha FJR1300a are "too high" too and I think after a year I'm tired of making them, and need Federal bailout too! :P
If overpriced homes can be a political handout, why not overpriced cars? can't have "the children" *walking* to school now can we?
Bah and BS.
"to call an illegal immigrant an "undocumented alien" is the same as calling a streetcorner drug dealer an "unlicensed pharmacist".
Personal responsibility?
April 3, 2008 - 16:56 ET by SnappyPersonal responsibility? what an interesting concept... not that its needed of course when its appearantly an inalienable right in this country to have your bills payed, your health care taken care of and the assurance your feelings are never to be hurt.
Dot.com bubble crash bail-out fail short because of..
April 3, 2008 - 19:34 ET by Gary HallAnd looking back at 2000, the historic Dot.com bubble crash bail-out fail short because of.. whoa - what bailout?
Oh right, with $8Trillion in overvalued market equity being lost, dozens of major employers filing for bankruptcy, mass-layoffs on the rise, trickle down thru the economy.
Remember the Clinton bailout of the millions of Americans losing their jobs, savings, retirement, children's college funds?
On top of that we had serious rising heating oil prices, gasoline prices rose 50+% (12 months preceeding Bush) and an energy crisis (blackouts) in CA. Remember Clinton's response to the CA energy crisis? "It's a local problem." Remember how the Clinton administration reached out to bail out the states, like CA which were thrust into massive deficits - oh.. those darn Republicans.
Now that the US is officially a socialist country...
April 3, 2008 - 21:01 ET by R D Helm...the 80+ year-long transformation having become a sad reality the instant the agreement to force us taxpayers to bail-out Bear-Stearns was signed. What is more, you can bet your last beer that, when push comes to shove, there will be no shortage of republican congress critters who will be more than willing to line up and vote for a mortgage bailout.
Count on it, partly because this is an election year, and there are other reasons as well.
Theme for Election '08: I want my mommy!