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2.7%  Q1 GDP    4.57%  avg. 30-year mortgage     9.5%  Unemployment

Markets Surge at Close

UPDATED at 4:10 p.m.:

A big last-minute surge by the financials -- JP Morgan, Bank of America, American Express and Citigroup -- sent the Dow to its highest levels of the day, as it closed up 121.07 points at 11,143.13, a gain of just more than 1 percent.

Still, the Dow was down about 250 points for the week.

The S&P 500 and the Nasdaq closed about even for the day, with the former barely in positive territory and the latter just in the red.

With less than 30 minutes left on the trading week, Wall Street seems convinced that some form of the $700 billion bailout plan will be passed shortly.

As of 3:40 p.m. today, the Dow is up nearly 80 points, very near its session highs. The Nasdaq and the S&P 500 are trading slightly down on the day.

Talks among lawmakers on Capitol Hill carry on, as lawmakers attempt to hammer out a compromise bailout bill.

It is the White House's hope that lawmakers can agree before Monday's bell so another opening dive can be avoided.

-- Frank Ahrens

By Frank Ahrens  |  September 26, 2008; 3:42 PM ET
Categories:  The Ticker  
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Next: I am a homeowner who works hard to pay my mortgage. Why should my tax money be used to help fix a problem I did not create?

Comments

You have got to be kidding me!
They MAY pass,come on Don't you know when you are being lined up?
Hey you want no parachute man you got it give us the $700 Billion
Hey you want regulation you got that give us the $700 Billion
Hey you want.........You got that give us the $700 Billion

BUT YOU MUST GIVE IT TO US BEFORE YOU REALIZE WE DID NOT STABILIZE THE MARKET WITH THE $300 BILLION WE ARE GOING TO BLOW ON OCT 1ST.
Carmen Basilovecchio
9804 S Military Trail E-10
Boynton Beach,Fl.33436 1-800-284-8600
cbasilovecchio@aol.com ******** bestsolutionsfl@aol.comTHEY GOT IT RIGHT- THEY GOT IT RIGHT

New agency ,fast and fair solution that will make a profit.
They all in some way describe "EVERYBODY WINS":" Freddie Aff" .

EVERYBODY WINS PLAN
Making the assets affordable and allowing the proper time to repay .No matter if this were a 10 Trillion dollar problem if the formula were applied to make the assets credit worthy
-Assets purchased by new agency at Fair Value determined by appraisel.
-An affordable repayment plan.
-10 plus 30.
**************************PLEASE PUBLISH,FORWARD OR SEND A MILLION EMAILS******************************


"THE MAGIC BULLET" !
A 10 year fixed rate tax exempt bond is used to pay for all foreclosures and defaulting and "underwater" loans.The answer to this debacle was given in Feb 2008 in the State Of The Union Address...."issue tax exempt bonds"
The window of opportunity is still open.The discount rate still allows for a 3% tax exempt 10 year bond!!!(10 Year Treas.@ 3.7%)

***** New Mortgage,loan modification.****"THE SMOKING GUN"!

A SPECIAL MORTGAGE:
A 10/30 Year note/Mortgage.The 10 year note based on 20% payback on the full note(120 fixed payments)This fixed payment is the total payback for ten years.Then a fixed rate 30 year mortgage for 85% of the total.Thereby paying off the full 10 year bond and leaving a 5% profit.

READ ON,AND AS WITH ANY NEW IDEA:

CHANGE IT!
CHALLENGE IT!
OR ENDORSE IT!

"EVERYBODY WINS"
The 10 year 3% Tax Exempt bond is used as payment in full to the lender.The lender is paid FAIR MARKET VALUE! This would immediately stabilize the housing market.

Posted by: BASILOVECCHIO | September 26, 1908 4:09 PM | Report abuse

EVERYBODY WINS PLAN**
Making the assets affordable and allowing the proper time to repay .No matter if this were a 10 Trillion dollar problem if the formula were applied to make the assets credit worthy
-Assets purchased by new agency at Fair Value determined by appraisel.
-An affordable repayment plan.
-10 plus 30.
**************************PLEASE PUBLISH,FORWARD OR SEND A MILLION EMAILS******************************


"THE MAGIC BULLET" !
A 10 year fixed rate tax exempt bond is used to pay for all foreclosures and defaulting and "underwater" loans.The answer to this debacle was given in Feb 2008 in the State Of The Union Address...."issue tax exempt bonds"
The window of opportunity is still open.The discount rate still allows for a 3% tax exempt 10 year bond!!!(10 Year Treas.@ 3.7%)

***** New Mortgage,loan modification.****"THE SMOKING GUN"!

A SPECIAL MORTGAGE:
A 10/30 Year note/Mortgage.The 10 year note based on 20% payback on the full note(120 fixed payments)This fixed payment is the total payback for ten years.Then a fixed rate 30 year mortgage for 85% of the total.Thereby paying off the full 10 year bond and leaving a 5% profit.

READ ON,AND AS WITH ANY NEW IDEA:

CHANGE IT!
CHALLENGE IT!
OR ENDORSE IT!

"EVERYBODY WINS"
The 10 year 3% Tax Exempt bond is used as payment in full to the lender.The lender is paid FAIR MARKET VALUE! This would immediately stabilize the housing market.
LOAN MODIFICATION:
TWO PARTS
PART ONE:
"EVERYBODY WINS"
The 10 year 3% Tax Exempt bond is used as payment in full to the lender.The lender is paid FAIR MARKET VALUE! PAY BACK OF 120 Monthly payments at a rate that would pay off 20% of the principal and all of the interest on the TOTAL LOAN.
A fixed monthly payment mortgage with a 10 year payment plan.

A VERY LOW AFFORDABLE PAYMENT.*****EXAMPLE:.............. per $100,000.

********FACTOR IS $597/ $100,000

10 year Fixed monthly payment................. $597/month


UNBELIEVABLE AFFORDABLE LOW PAYMENT******$597/month.
WHY SO UNBELIEVABLE ???
BECAUSE THIS IS
PRINCIPAL,
INTEREST,
TAXES
and INSURANCE.
Payment fixed for 10 years on a $100,000 loan!

**************A $100,000 UNIT FOR $597 per MONTH!******P.I.T.I.

($200,000 LOAN---$1194/MONTH **P.I.T.I.)
________________________________________
LET'S DO THE MATH
Also known as "You have a lot of explaining to do!"
Per One Hundred Thousand
First 10 years payments...............$597X120......TOTAL..... $71,640


*PRINCIPAL.......................................... ........... .................... ........$20,000..
this reduces the $100,000 bond to $80,000.
*INTEREST...................................................................................$30,000
pays the ENTIRE interest on the full $ 100,000
..(That's what makes it no cost to taxpayer)
*TAXES
and
*INSURANCE.....................................................................................$21,640
(If "Freddie Aff" part of this money could go into profit portion.Get low cost ins. from AIG or be self insured,low risk,spread out entire USA with good deductible.DOUBLE THE PROFIT).
TOTAL...............$71,640

NO COST TO TAX PAYERS
The balance on the $100,000 bond is now paid off in full by a new 30 year fixed mortgage
for the balance $80,000 plus $5,000 PROFIT for the agency;making the new loan @ $85,000.


That is 5% profit if new mortgage @ $85,000!!!
That could be a $50 billion profit
instead of a
TRILLION DOLLAR LOSS!!!

SECOND PART of NEW LOAN MODIFICATION

A loan Lenders will fight for!
A borrower that has a ten year
payment history with 20% down!
A prevailing fixed rate mortgage for 30 years for the other $85,000.

Fixed 30 Yr. @6% (example for prevailing rate)
PAYMENT, fixed................................................................................$510 P&I,
Per each $100,000
Note:This payment does not include insurance,or taxes.
$510 per month plus taxes and insurance.
NOW THESE ARE AFFORDABLE HOMES!!!

****A $200,000 home for
$1020/month plus taxes and insurance for 30 yrs*****P.I.

Carmen Basilovecchio
9804 S Military Trail E-10
Boynton Beach,Fl.33436 1-800-284-8600
cbasilovecchio@aol.com ******** bestsolutionsfl@aol.com

This works no matter what amount of money is needed to resolve this crisis.
$500 Billion,a Trillion,still no cost to the taxpayers.
This could be a new agency**************
**********"FREDDIE AFF"**********
(Federal Affordable Housing)***************** NEW AGENCY WITH NO SHARE HOLDERS
A CAUSE DRIVEN AGENCY,to perpetuate affordable housing!
This new agency would be profitable!!!!!!!
At the end of the 10 year term FREDDIE AFF will create a 5% profit
that will be eternal funding for affordable housing!
If 1 trillion is needed that becomes $50 BILLION profit.
Of course the second part of the deal becomes a 30 year fixed at 85%.(Example would be PI $510)
USE THE PROFIT-
***AFFORDABLE HOUSING
****HEALTH CARE
****SOCIAL SECURITY!

TURN THIS AMERICAN NIGHTMARE INTO AN AMERICAN DREAM.


PLEASE EMAIL ANY COMMENT,Questions,THANK YOU.

cbasilovecchio@aol.com bestsolutionsfl@aol.com

Posted by: Basilovecchio | September 26, 1908 4:17 PM | Report abuse


What's needed here is "separability of issues" and I think that everyone on "the street" is starting to realize that Congress is starting to realize it.

Basically, separate the muck of toxic mortgage-derived securities (which are trash) from the clear water of interbank credit uncertainty. Let the clear water flow once you've cleaned out the muck, so to speak.

Put all of the junk tranches of mortgages and their deriviatives under the control and administration of one agency and fund, and inject liquidity and solvency into the interbank credit market, allowing business to move ahead, unencumbered by the dead weight of the moribund mortgage industry.

If congress manages to pull this off, and manages to do so to include direct taxpayer equity in the aggregate assets of the defaulted mortgage and deriviatives assets submarket, the rest of the financial world will be working as it should. And the taxpayers should get dividends back as the assets of the illiquid toxic mortgage sector are sold at a profit onto the market.

--------

Posted by: Thomas Hardman | September 26, 1908 4:20 PM | Report abuse

The comments to this entry are closed.

 
 
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