If you thought banks were already wary of loaning money, wait until you read this:
Federal Reserve Chairman Ben S. Bernanke, battling the worst housing recession in a quarter century, urged lenders to forgive portions of mortgages held by homeowners at risk of defaulting.
Just to make sure you know exactly what’s going on, let’s briefly recap the last few years. First, the government practically forced banks to loan money to people with bad credit history. Then the government practically bribed the banks into extending even more credit, by using artificially low interest rates. Now the government is asking the banks to forget about ever getting their money back.
That’s your tax dollars at work — making you poorer at your own expense!