Monthly Archive for: ‘August, 2012’

Geithner Vows to Press for Writedowns for Underwater Home Loans

U.S. Treasury Secretary Timothy F. Geithner, twice rebuffed, is vowing to try a third time to persuade the Federal Housing Finance Agency to allow principal forgiveness on mortgages backed by Fannie Mae (FNMA) and Freddie Mac. (FMCC) “I urge you to reconsider this decision,” Geithner wrote to FHFA Acting Director Edward J. DeMarco, who yesterday announced that Treasury Department financial …

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Fannie Mae, Freddie Mac won’t be allowed to reduce loan balances for troubled borrowers

The federal regulator for government-backed mortgage giants Fannie Mae and Freddie Mac said Tuesday that he will not allow the firms to reduce loan balances of struggling homeowners, frustrating the Obama administration as it looks for ways to boost a floundering economy. Edward J. DeMarco, acting director of the Federal Housing Finance Agency (FHFA), said the agency’s analysis showed no …

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