Pelosi Fumes, Bailout Fails, Americans Win
 Monday, September 29th, 2008  by Connie T.

You broke it, you bought it! The bailout is bullsh*t! These were the chants heard on Wall Street last week as over 500 protestors gathered to voice their opposition of George W. Bush's proposed $700 billion bank bailout measure. The good news? The bailout has been struck down after more than two-thirds of Republicans voted against it.

Thanks to those of you who made your calls and had your voices heard!

Democratic Speaker of the House Nancy Pelosi gave some long boring speech that attacked the proposed legislation, and the majority came back with Nay's.

But with a final count of 228 to 205, there are still 205 members of Congress that were for the bailout as-is, so pick up your phones!

Don't you love how all of the media outlets with close ties to banks focus on the negative in an attempt to sway the public? Bloomberg - who also gets paid by finance companies for their software - immediately produces the headline "US Stocks Plunge After House Votes Against Bailout Plan." Stocks may have plunged, but the fists of 93% of hard-working, American taxpayers had a little jab in the air all across the nation.

Anyhow. You know how we always say we have the smartest readers? Here's a perfect example. A reader named VR submitted a bailout proposal that would help more than just the banks:

What $700 billion to $1 trillion could do: Instead of giving the money directly to the banks, the gov could send checks for $14,000 - $20,000 to every single owner occupied home in America with a mortgage. These checks could be made out directly to the mortgage companies. So people could not use it to go out and buy a car or a mink coat. The checks could only be used to pay down an existing mortgage.

The banks would be getting the full $700 billion to $1 trillion that they want. But it would pass through our hands first. They are spending our money on the bailout. At least let us touch it for a few seconds.

This would:

1. Rescue the banks from themselves. (they still get bailed out)

2. Rescue private investors of mortgage securities. (they still get bailed out)

3. Give people who are 30 - 90 days late a reprieve. They will be caught up, and gain equity. $20,000 is more than a year of payments for most people. (this is a bonus benefit, at no additional cost)

4. Builds equity for those who are not behind, by paying down their mortgage by $20,000. (this is a bonus benefit, at no additional cost)

5. Removes negative equity for many home owners. People who owe $200,000 on their $180,000 homes would now be able to sell them for the $180,000 value, without going bankrupt. (this is a bonus benefit, at no additional cost)

Continued, see the rest here

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