Some history of Fannie Mae and Freddie Mac

George Mason University's History News Network ^ | 12-08-03 | Rob Alford

[Bertram3]

In recent months, [written in 2003] the nation's two largest mortgage finance lenders have come under increasing scrutiny at the hands of Congress, the Justice Department and the Securities and Exchange Commission (SEC). The Federal National Mortgage Association, nicknamed Fannie Mae, and the Federal Home Mortgage Corporation, nicknamed Freddie Mac, have operated since 1968 as government sponsored enterprises (GSEs). This means that, although the two companies are privately owned and operated by shareholders, they are protected financially by the support of the Federal Government. These government protections include access to a line of credit through the U.S. Treasury, exemption from state and local income taxes and exemption from SEC oversight. A recent accounting scandal at Freddie Mac that resulted in the replacement of three of the company's top executives has led to mounting concerns over the privileged status these GSEs enjoy in the marketplace...

[Bertram3]

This article was published in 2003. I found it interesting. link to article

[kindred]

[The Federal National Mortgage Association, nicknamed Fannie Mae, and the Federal Home Mortgage Corporation, nicknamed Freddie Mac, have operated since 1968 as government sponsored enterprises (GSEs).]

Another disaster created,run,and destroyed by our corrupt federal government much as the school systems and other institutions controlled by the federal government.
Seems the federal government corrupts and bankrupts every institution they run much as the communsists do. And now they want to use more taxpayers monies.
They will destroy us all.

[quack]

Substantially increase by at least $440 billion, the financial commitment made by the government sponsored enterprises involved in the secondary mortgage market, specifically targeted toward the minority market;

This is also interesting and found in "A Home of Your Own" policy,written in 2002.If you look closely,$440 billion was to be spent to ENABLE Fannie and Freddie to take on more mortgages.That's almost 1/2 Trillion dollars to enable it.Now,we're supposed to give them more on the backside of this?

Link to policy: http://www.whitehouse.gov/infocus/homeownership/homeownership-policy-book-whole.pdf

[Bertram3]

Thanks for the link. George W. Bush was acting like a New Deal Democrat again and it has bitten him on the behind.

[quack]

I’m trying to get this to WHOEVER will run with it.We’ve already paid 1/2 Trillion to get into this mess.Now we’re told to open up our wallets to pay to get out of it.Send it to any talking head that you think will run with it and at least,report it to the public.