"Old Mistakes, New Mistakes!"

Yesterday, I wrote about my trip to Chicago. I had a really good time as I walked through my old neighborhood. In some ways, I relived those days. I saw things in my "mind's eye". I remember my buddy Will's little brother running down the block "buck naked", as his poor Mom yelled "WAYNE!!" at the top of her lungs; Wayne was about two years old and hated his clothes. I remember Madelyn, my first love from afar as a seven year old; dark hair, dark eyes, an Italian dream. I remember my Dad spanking me for running across Grace Street (I can still feel it). I even remember pulling a hot iron on my arm, and having bandages on it for a very long time. I've certainly made my share of mistakes, as have most of us. Every mistake is a learning experience if we take something of value from it. Criminals return to jail because most of them don't learn from their mistakes; they continue to repeat the mistakes of their past.

In 2006, former President George W. Bush told Congress (Democrat controlled) that Freddie Mac and Fannie Mae needed some regulation or we could face some real financial problems down the road. Barney Frank, for lack of a better phrase, "blew him off", saying the loan programs were solid and problem free. As it turned out, Freddie and Fannie were the fuse that ignited the mortgage crisis in America. Loans given to unqualified purchasers began to fall apart; it marked a policy of poor decisions based on social justice. Homes for those who really couldn't afford them were the purpose of this spurious program.

Guess what is happening now? Freddie Mac needs more money! Freddie needs more of your money, to once again bolster a bad policy. Freddie needs 1.8 billion dollars of taxpayers' money to restructure mortgages for borrowers who can't afford their payments! In the last 3 months, Freddie lost 4.7 billion dollars; in the previous 3 months Freddie lost 6.8 billion dollars; talk about financial wizards! Now
Freddie needs 1.8 billion on top of the 60 BILLION DOLLARS that has already been provided. As a side note, Freddie Mac and Fannie Mae are not mentioned in the Obama financial reform bill. This seems odd, as neither organization has done very well handling other peoples' money.

How much longer can the American people continue to subsidize the loans of people who are "bad risks"? Owning a home is not a right, although the democrats believe this. People who use bad judgment in taking out loans they can't afford are not the responsibility of the taxpayer who lives within his means.

Soon Fannie Mae will be asking for more funds, as they are also operating at a loss. In the last 3 months, Fannie has lost 1.2 billion of your dollars. All this is in the quest for "social justice". Leveling the playing field for those who aren't good managers of their money should not be a government responsibility. When will we abandon these spurious policies? Why were these organizations not part of financial reform? Why is this administration not learning from past mistakes? We are now repeating the mistakes of the past. How many more old mistakes can America tolerate from this administration before we say "ENOUGH!"?