If you received a mortgage that you had no chance of affording, Barney Frank has a message for you: help may be on the way. The internet gambling advocate wants to place a $2 billion bet on unemployed homeowners facing foreclosure. Doing his part to recycle, BF intends to take a couple billion in repaid TARP funds and loan them out to the jobless to stem another wave of foreclosures.
"We have a new wave of foreclosures coming not from people who got loans that they shouldn't have gotten, but people who got loans that they clearly could afford but prolonged unemployment has put them in a tough situation," said Frank, a Massachusetts Democrat.
Apparently even in this environment, B-Frank has few reservations about going double or nothing.
Frank Urges Using $2 Billion Repaid to TARP on Foreclosure Aid [Bloomberg]