Obama’s Challenge? Showing Nation He Gets It

Make no mistake about it, Obama’s speech last night represents the start of a quiet social revolution. His plan as outlined last night sets the US on a path to social transformation never seen before in the US history.
( http://www.iddja.com/ )

An interesting read for ALL you saying Bush lowered the tax on the rich. Read up.
http://www.american.com/archive/2007/november-december-magazine-contents/guess-who-really-pays-the-taxes

“helping the disadvantaged”
I would like to see your definition of “the disadvantaged”
Sad thing is, we are ALSO “helping” people getting over on the system. It would be nice if we CLEANED UP HOW our money was spent BEFORE we started creating MORE programs for people to get around the system.

Michelle: It is widely known that Obama writes his own speeches, albeit with suggestions from staff, but his words nonetheless. So, of course, you have posted an untruth.

System: “US, the tax payer”
1. My parents retired to a farm in the South. Down the road from their farm is a small beat up trailor with a family of 6 living in it. The husband has been in jail a couple of times for selling drugs. He cannot (will not) keep a job and his wife will not get one. They have 4 kids ranging from 4 to 8.
They get the Food Stamp Card and the children are on the SCHIP program. When the Husband or Wife are sick, they go to the emergency room on OUR DIME.
I HAVE NO problem feeding and helping to take care of the children, but the Husband and Wife? Sorry
2. All the crack heads and drug users in this country that claim they had a raw deal or they did not have a chance to better themselves. They end up in the Hospital with NO insurance, and the Hospital has to write off the bill because they will not get paid.
3. All the Illegal Aliens coming into this country with NO health insurance ending up in the Hospital on OUR dime.
4. ALL the Illegal Aliens coming into this country and having a child that is NOW our responsibility to raise and take care of.
5. Those that work making the min. wage with children to raise because they claim they DID NOT have a chance to go to College to better themselves. (BULL) With all the loans, grants, hell, join the damned military chances to better yourself in this country. (oh, I forget, the man keeps you down crap)
You need more.. I can give them.

HERES THE LETTER
The Banks and Lenders that “prey” together, stay together. An open letter to the President of the United States.
February 11, 2009 President Barack Obama The White House 1600 Pennsylvania Ave. Washington, DC 20500 Dear Mr. President:
I represent tens of thousands of small business mortgage professionals who are being forced out of business by some of the nation’s largest national banks, lenders and mortgage insurance companies. As you are well aware, this country is experiencing the worst financial crisis since the Great Depression. While your Administration and Congress search to find a solution to our economic troubles, others are conducting a campaign of blame, with the goal of eliminating competition and controlling all aspects of mortgage financing. From the very moment mainstream media first used the words “mortgage meltdown,” mortgage brokers were labeled as the group that inflicted the predatory practices that gave rise to record foreclosures. As a result, mortgage brokers have been subjected to intense scrutiny and consequently over-regulation. Moreover, some of our former wholesale lenders and private mortgage insurance outlets have cut off our source of funds to operate, all under the guise of consumer protection. Make no mistake about it; this campaign to eliminate our profession has absolutely nothing to do with consumer protection. It’s all about market share! Let’s examine the facts. Brokers have been blamed for putting consumers into predatory loan programs. False! Mortgage brokers never developed one single loan product or program. However, some lenders and banks did, aided by Fannie Mae, Freddie Mac and Wall Street. These same institutions set the guidelines for such programs, without any broker input. Most importantly, mortgage brokers did not underwrite or approve any of these loans. The responsibility for approving loans was that of the banks and lenders. If we didn’t develop the programs, set the guidelines or approve loans, how could this be our fault? Another favorite target of the media is the “Yield Spread Premium” (YSP). This form of legal and legitimate industry compensation has been labeled a kickback and a bribe. YSP has been vilified when it should be praised for helping homeowners. For example, most consumers today seek financing without “points.” YSP allows them to finance all or part of their origination costs. This practice has existed for years and is used by many State Housing Agencies, as well as by banks, lenders, credit unions and others who call it a “Service Release Premium” (SRP). It’s the exact same type of compensation, other than having a different name. The only difference between a broker’s YSP and a lender’s SRP is that brokers fully disclose this compensation to consumers. Besides not having the same disclosure requirement as brokers, lenders have often denied receiving this payment. The media has often depicted YSP as a fee brokers receive for increasing a consumer’s interest rate. The truth is consumers are always given a choice with rates and points. They may elect to pay a discount point(s) and receive a lower rate, or pay no points and finance their origination costs by a slightly higher interest rate. Most consumers choose the latter. In this climate of full disclosure and transparency, Congress should replace the terms YSP and SRP with “indirect compensation” and require all originators to disclose this compensation to consumers. Brokers have been disclosing every dime of compensation for the past 17 years. It’s time for lenders and banks to do the same and level the playing field for consumers. It has also been reported that brokers are unregulated. Once again, false! Brokers are regulated in every state. Furthermore, we supported passage of the S.A.F.E. Act as contained in the Housing Economic Recovery Act (H.R. 3221) in July 2008. This Act establishes uniform federal licensing standards for mortgage originators and a national registry of originators. The National Association of Mortgage Brokers first proposed these standards in 2001. Unlike brokers, loan officers that originate for banks and lenders are unregulated. It’s time to regulate bank employees too. The final push to eliminate competition and control the entire housing market is now underway. Lenders and banks are exiting wholesale lending; claiming brokered loans perform worse than their retail branches. Again, who developed the programs, set the guidelines and APPROVED every loan? Mortgage insurance (MI) companies are now joining the banks and lenders. Some have completely cut off brokers, while others have set different guidelines for banks and brokers. The reason is simple: banks and lenders call the shots. For years, some banks and lenders have intimidated mortgage insurance companies to insure loans they knew would eventually have a high default rate. The MI companies had a choice: insure the loans or risk being cut off. Until approximately ten years ago, brokers and other originators would submit loans for underwriting (approval), to both a wholesale lender and a mortgage insurance company. This long established practice gave every file with less than a 20% down payment a second set of eyes. Having two underwriters independently examine every submission for approval protected both consumers and industry. In my opinion, this practice was eliminated out of greed. Some banks and lenders saw an opportunity to increase their profits at the expense of quality control. Some banks and lenders made “deals” with mortgage insurance companies. The agreements called for the lenders to take control of underwriting. Once a lender approved a file, that file was also considered approved with an MI company. The second part of the deal consisted of a kickback. Since lenders and banks were in control of who ordered the private mortgage insurance, they could steer business and demand a percentage of the consumer’s premium. These kickbacks averaged 25% of the premiums. They were also never disclosed to the consumer. This type of lender control is also taking place with appraisals. Lenders have established their own Appraisal Management Companies (AMCs), which allow them to have complete authority over all aspects of the “independent” appraisal process. It’s important to note that not all banks and lenders have engaged in these practices. Many are honest and reputable institutions. However, the fact remains that many are preying on the consumer and small business. Mr. President, if the actions outlined in this letter are permitted to continue, the costs of mortgage financing will increase as a result of less competition. State shortfalls will increase, as well. Furthermore, the country will see a continuation of sharp and prolonged unemployment and foreclosures, due to the elimination of our profession. Every day, more and more small business brokers and their support staff are going out of business. We urgently require your guidance and support. I would appreciate meeting with you as soon as possible to discuss this ongoing tragedy and means by which improvements can be made.
Respectfully, Marc Savitt, CRMSPresident, National Association of Mortgage Brokers 7900 Westpark Drive, Suite T-309 * McLean, Virginia 22102 * (703) 342-5900

I have lived with-in my means, paid my bills on time and done what had to be done to feed my family and educate my kids. Now my 401 k is short, I see little responsibility for choices and I see my government moving toward socialism with no end to the spending.

A more clever post would be, America’s Challenge? Do we get it yet?

Starbucks is cancelled until further notice. This is a needed baby step toward the responsibility we need to embrace as Americans. Teaching ourselves to reign in the ridiculous lifestyle can begin with increments of 3 bucks/day. Ok? Do the right thing, get on the bus sans Starbucks coffee drinks!
http://www.twitter.com/hannibal666

If Obama is reading someone elses words; he picked the right person to write for him. Picking the right people for the job; Bet it’s NOT BROWNIE! That’s good leadership.

President Obama’s speech last night was truly moving, spellbinding and confidence building. However, if we are truly to “emerge as a stronger nation”, then applying aspects of “Reaganomics” just makes common economic sense.
Though the US financial landscape is toxic with the likes of the housing, credit, banking, Wall Street, Bernie Madoff and Allen Stanford crisis, there remains some very credible economic similarities with the inflationary challenges Ronald Reagan faced in 1981 and our current recessionary economic state.
In the last year of the Carter Administration (1980) the US inflation rate climbed to a peak of 14.8%, the top individual tax payer rate was 78%, unemployment was 7.4%, federal outlay was 17% higher than the economy’s growth rate, and the federal government grew while enacting loads of new spending programs. During this period, the US economy was then truly the worst it has ever been since the Great Depression of the 1930s. The nation was in quite a deep hole of economic collapse when the new president Ronald Reagan took office in January of 1981. Reagan had to devise a constructive, sound tax and monetary policy to pull the US out of its horrific economic low point, very similar to what we find ourselves in today.
Stephen Moore of the Cato Institute stated that “no act in the last quarter century had a more profound impact on the US economy of the eighties and nineties than the Reagan tax cut of 1981.” Reagan’s tax cuts, combined with an emphasis on federal monetary policy, deregulation, and expansion of free trade created a sustained economic expansion creating America’s greatest sustained wave of prosperity ever. Our economy grew by more than a third in size, producing a $15 trillion increase in American wealth. Every income group, from the richest, middle class and poorest in this country, grew its income. Consumer and investor confidence soared. Cutting federal income taxes, cutting the Federal spending budget, cutting useless programs, scaling down the government work force, maintaining low interest rates, and keeping a watchful inflation hedge on the monetary supply was Ronald Reagan’s formula for a successful economic turnaround. The economic principle that business expansion, jobs and wealth follow low tax rates is widely accepted. The last principle Ronald Reagan incorporated was the realization that immigrant workers are a key and vital component of the US economy.
We should also recognize that technological innovation and entrepreneurship remains the driving force behind our economic growth, prosperity and rising incomes. Implementing policy mandates which boosts innovation, increases efficiencies, productivity and generates jobs is a key component to guaranteeing our economy’s rebound and “emergence as a stronger nation.”
I realize that Reagan was a former Democrat turned Republican, but, above all, he was focused on doing the right things for the US economy, and he got it very right. We might wish to incorporate and apply aspects of “Reaganomics” to our current economic dilemma.
Igor Sill, San Francisco, CA

Obama doesn’t get it. If nothing is done to keep failed real estate projects from coming back on the market at severly depressed prices, real estate values will continue to fall dramatically.

It seems the President’s speech fired up the thinking processes of his listeners in a way I have not seen in many years. Along with the vitriol that normally dominates online discussion, I am pleasantly surprised and encouraged by the many thoughtful and constructive comments relating to President Obama’s words. An uncanny ability to inspire better visions from all of us seems to be the special magic of this President. I am not the least bothered by lack of spreadsheet specificity- at least not for now. To effect any kind of change, one has to be willing to venture where we have not been before, and there are no spreadsheets for this. To give America permission to dream, to believe in a better way, and to be empowered to make it real is more than exciting, it is millenial. As I listen to the same old tired Republican rhetoric best described as all things that make life bright and more beautiful must be “wasteful spending” I feel proud that the voters had the courage to choose something more. While the Republicans don their robot suits of gray and black flannel, cancel their wasteful movies and turn off their wasteful music (after all- we can always go to a museum to replay what once was vibrant and new.) And God forbid we spend a wasteful dime on health care. We can pay for insurers to deny coverage instead. Sensible, non? George, you don’t seem to “get it” either. This is a special journey that will not be hijacked by phoney “bi-partisan” bickering. Those Republican captains of negativity can come on board, or they can crawl under their cloaks and whine while this journey goes on without them. Bill Clinton was saddled with “bi-partisan” baggage because he had the Gingrich Congress to enact his agenda. It is to his great credit that he was able to get anything done at all. Obama has a much better crew here, and America has a real chance to accomplish the work we must do. Republicans believe they have some pre-ordained claim to the White House. From Bill Clinton’s first day in office came that same whining drone that we hear now. We shouldn’t have listened then, and we don’t have to listen now. They have no new ideas, just the same tired old windy rhetoric. The White House does not belong to Repubicans or Democrats. It belongs to the people, and the people have spoken with unmistakable clarity. Barak Obama, welcome home!
Marianne Menter

I have thought long and hard about the mess we are in. Greed and the almighty dollar has put us there. I too am guilty for living beyond my means, but I remortgaged my house twice to pay for my sons medical bills that were not covered by insurance. Yes we had to refinace the house because insurance did not cover 20k in bills can put the American dream right down the toilet. I extended a credit card because he had to have COBRA coverage when he could not finish school. I am not asking for pity, it was a fact of life. You do wwhat you have to do to take care of your kids.
He is now about to graduate from college. It was worth every penny.
So now I have an upside down mortgage but at least I still have a job. I see Obama’s plan as an inspiration and some hope that we can fix health care along with the economy. We need to get this country on-track.

Yes, cure cancer! And more too… It is our own fault for believing that we cannot achieve great things.

This is to gjhardtimes: I wish you had blown the whistle on these bad guys.
Also, Stated income programs, in fact all loan programs were developed by lenders, banks, Fannie and Freddie. Can’t blame brokers for this one. As to brokers receiving “discount rates,” banks and lenders receive these fees not brokers. Discounts are only to be charged to reduce a borrower’s rate.
Brokers receive origination fees. Also remember, you don’t see what lenders and banks make from indirect compensation on the back of a loan, because they don’t disclose it like brokers do. Thanks

Well Mr. Savitt I did try to BLOW the WHISTLE. But Senior Management for all the Companies, that I did contract work for would contact the people, I would go through for the Job and would let me go for causing problems or was not their type of worker.
Now about that “DISCOUNT RATE” you are somewhat right about that rate for Banks and Major Lenders. But I know in some parts of the U.S.A. there are Wholesale Lenders that would use that terminology or they would use the “REBATE RATE” and maybe “RATE INCENTIVE PROGRAM” there are many more terms out there used by Wholesalers. You know exactly what I am talking about. Those points a Wholesale Lender pays a Broker, if the Broker sells a loan at a higher interest rate to a Borrower. The Broker still gets their origination fee which are shown on the REG. PAPERS. But those points a Wholesale Lender offers in whatever terminology they use, do not have to be disclosed on the REG. PAPERS.

Obamba, has pretty flowing words, and already the CEO’S are flying their jet airplanes back into DC, its the same as it will always be,the rich get richer,with his bail out monies, and the poor will remain poor. ms waddles

If Obama gets it finally (as the teleprompter tells him), I would like to know just where I am going to get all the extra MONEY TO PAY ALL THESE NEW TAXES!!!??? I’m 61 yrs. old and have been on SSD the past 2 yrs. and believe me if my health was better I’d love to be working (if there were jobs that is). I was married 32 yrs., always worked, and raised three children and now have 5 grandkids. I worked week-ends, evenings, part time days to be w/my children. We lived a modest lifestyle and now I am afraid I will lose my condo and retirement $. Where am I supposed to get all this EXTRA MONEY TO PAY THESE HIGH TAXES IMPOSED UPON ME BY THE GOVERNMENT….Federal and State!!!??? NOT TO MENTION THE HIGHER PRICES ON EVERYTHING! Right now I can barely pay my monthly bills. We Americans are not happy campers. The GOVERNMENT should get its act together and figure out what will work and get your heads SCREWED ON STRAIGHT!!!!!! You are not STIMULATING the economy (you’re bringing it down to a lower level)…people don’t have jobs, houses, money. You need to CUT TAXES so that people will have money to spend and jump start the money flow! Quit all the doom and gloom talk!!! The only thing you are STIMULATING IS OUR ANGER AND BLOOD PRESSURE!!

Watch every Sun.am. Why on earth did Carl Rove get a front seat on your show??? Haven’t we seen enough of his dishonest face for the past eight years. What a way to start the day. My husband and I really don’t want to hear anything that he has to say!!!

Oh really!,the ‘ chosen one ‘ is fully aware?, I guess that explains just how one of them Predator Drones bombed yet another house in Pakistan packed! with non-combatants…, remember Obama once called both U.S. Forces and the former Bush Administration war criminals! for doing the same. Does any person really think??, UBL if alive???,is waiting at the Afghan-Pakistan border essentially making himself an easy target!,no he’s morely likely, & safely hidden! within a city of some 5,000,000 people in the knowledge we don’t have the either the spine?, or brains??, to surgically get to him. Well at least we got ‘Barack’s bright plan’ one which shall increase! Al-Qaeda and Taliban recruitment while destabilizing! Pakistan’s government. Who cares???,there are as few as 30 to as many 80?,’reasons/nuclear’ warheads to give americans cause to concern.