(Washington DC) NACA is holding a press conference at the National Press Club on Tuesday July 29th at 12:00 PM in the Murrow room to expose the Government Sponsored Entities (i.e. Fannie Mae and Freddie Mac) continued activities in predatory lending practices including the purchase of interest only, ARM resets and others problematic loan products.
NACA has the most credibility to address this issue since its CEO, Bruce Marks, in Congressional testimony on September 12, 2000 predicted the GSE bailout resulting from their involvement in subprime lending, as well as NACA’s relentless work on behalf of at-risk homeowners.
NACA’s unprecedented Save the Dream event in Washington, DC last week attracted over 20,000 people with unaffordable mortgages. This historic event occurred at the same time that Congress was voting on the Housing & Economic Recovery Act of 2008. At this event it was revealed to NACA that the same types of loans that created the mortgage crisis continue to be purchased by the GSEs.
With virtually no benefit to at-risk homeowners due to the restrictive underwriting and delayed implementation, over one million homeowners will lose their homes. The beneficiaries of the Act will be the GSE’s whose implicit taxpayer guarantee of $10 Billion is now unlimited and may cost the taxpayer $800 billion and more. It rewards the GSE’s for their past failures and supports them in continuing these practices. Congress and the Administration never asked two fundamental questions: 1) When would HUD be able to implement the new “Hope for Homeowners” program, and 2) Are the GSE’s continuing the lending practices that were instrumental in causing the mortgage crisis?
‘We call on President Bush to listen to his supporters and all the at-risk homeowners and provide real solutions to the homeowners and stop this raiding of the taxpayer’s money.” States Bruce Marks, NACA CEO. “This may be the largest bailout ever paid for by the American people. Until these issues are addressed, the bill should not be signed.”
Through NACA’s Save the Dream event over five days, NACA was able to submit thousands of mortgage restructure solutions to servicers and has already received over 1,000 accepted solutions. These solutions cost the taxpayer not one dollar and put the responsibility where it belongs: the companies that created the mortgage crisis and profited from it. “Congress and the Administration are trying to provide themselves with political cover for the Fannie and Freddie bailout. This is the worst form of Washington politics and massive abuse of taxpayer funds”, continues Bruce Marks.
NACA is calling on all taxpayers and at-risk homeowners to call President Bush at 202-456-1414 to delay signing this bill until this massive taxpayer fraud is investigated and addressed.
What: NACA Press conference exposing GSE’s continued support of predatory products
Where: National Press Club, Morrow Room, 529 14th St. N.W.
When: Tuesday July 29th at 12:00 PM