Citigroup, U.S. senators in mortgage legislation talks: report

[Eugene]

Source: Reuters

Citigroup, U.S. senators in mortgage legislation talks: report
Thu Jan 8, 2009 7:31am EST

(Reuters) - Citigroup Inc is leading other lenders
in advanced talks with key U.S. senators on legislation
that would allow judges to set new repayment terms for
millions of mortgage holders who wind up in bankruptcy
court, the Wall Street Journal said, citing people
involved in the talks.

A person close to Citigroup told the paper that it was
still discussing details of the plan with lawmakers,
and that it has not made a final decision on whether
to embrace the so-called "cramdown" legislation.

The negotiations reflect Citigroup's desire to "get
out in front" of the growing U.S. mortgage foreclosure
problem and show Democrats it was willing to be
constructive on an important issue, the paper said.

-snip-

Senate negotiators told the paper that Citigroup's
endorsement of the measure was important for bringing
other big lenders on board quickly, improving the
measure's chance of passing with the stimulus bill.

-snip-

Read more: http://www.reuters.com/article/topNews/idUSTRE50719G20090108

[Waiting For Everyman]

1. Since when do the banks have a vote in the Senate?

Seems to me... the Senate could pass what it damn well pleases without their agreement.

This is inevitable anyway. The banks aren't out in front of anything, they're dragging their feet way behind.

There is NO justification whatsoever for the BK law which we have now, that allows judges to modify mortgages on "extra homes" (2nd, 3rd, however many) but NOT a primary home. There's no reasonable argument to defend that. Zip. None. It's clearly absurd abuse of the system by the banks, as it is now... which is a major reason why we got in this jam in the first place.

[ananda]

2. Ouch! Just a little reminder..

.. of who really runs this country..

.. big banks and corporations.