Posted by
Bob Wood aka TrekTek on Friday, October 03, 2008 3:01:53 AM
Biden said in the debate:
IFILL: Sen. Biden, you voted for this bankruptcy bill. Sen. Obama voted against it. Some people have said that mortgage- holders really paid the price.
BIDEN: Well, mortgage-holders didn't pay the price. Only 10 percent of the people who are -- have been affected by this whole switch from Chapter 7 to Chapter 13 -- it gets complicated.
...with regard to bankruptcy now, Gwen, what we should be doing now -- and Barack Obama and I support it -- we should be allowing bankruptcy courts to be able to re-adjust not just the interest rate you're paying on your mortgage to be able to stay in your home, but be able to adjust the principal that you owe, the principal that you owe.
That would keep people in their homes, actually help banks by keeping it from going under.
Great! Let's all go out, buy million dollar houses, and declare bankruptcy. When the judge finds out that we can only afford a $100,000 house, we're home free!
Biden only misses one point: It is NOT my house until I pay off the mortgage! Until then, it belongs to the mortgage company. Where are the mortgage companies going to get the $900,000 difference?
If Biden's plan were to take effect, you could watch the mortgage industry disappear! And the home-building, lumber, sawmill, plumbing, roofing, electrical, and all related industries.
Another Note: Senator Biden, for all of his 35 years experience in the Senate, also seemed to miss the Constitutional role of the Vice-President. He also said that the Executive Branch is defined in Article 1 of The Constitution. Sorry, Senator, but that's Article 2.