[An Old Man]

Part of the program would instruct Fannie and Freddie to automatically approve refinancing at current rates. That change is expected to give 4-5 million people an immediate reduction in their mortgage payments, according to a senior administration official

That is a very clever way to spread the wealth!:

If I dash down to my friendly banker and ask for a refi. He will probably bend over backwards to fulfil my desire.

Why? Because it gets him off the hook and transfers the risk to Fannie and Freddie (The US Goverment) and then directly to You as a taxpayer

Got Ya

[Mike Darancette]

Why? Because it gets him off the hook and transfers the risk to Fannie and Freddie (The US Goverment) and then directly to You as a taxpayer

So when F & F refinance do the refinanced loans get paid off in full even if the the mortgage is upside down?