Democrats Plan To Take on the Mortgage Crisis!

As previously discussed on this blog, the mortgage crisis has led to a general credit crisis and now threats of a recession. Recessions are often hardest on young workers and recent college graduates. Young people are the first to feel the effects of a recession as it becomes harder to get a job and all but the most penalty ridden credit options are taken away from us. We are also far more likely to be sucked in to these alternative mortgages due to a lack of strong credit histories. We need real leadership on these issues.

While the outlook has been bleak, and the Republican leadership is slow to act, Assembly Democrats are proposing a real solution for working families in this crisis. Local Assemblymen Bob Reilly and Tim Gordon are backing a comprehensive package that provides $150 million in direct financial assistance to struggling homeowners, $30 million for counseling and legal services, and offers mediation and legal representation for those duped by unscrupulous lenders.

This is exactly the kind of action needed, but as usual, the Republican Senate is worried about their large corporate donors. Tell Senator Farley to stop playing to the corporate interests and start working for his constituents by supporting this plan for working families.

Hugh Farley Fails to Protect Homeowners

Reading the article in the Daily Gazette a few weeks ago "Farley 'appalled' by rise in risky loans," I was disappointed but not suprised to see Senator Hugh Farley just now discovering that he has failed to protect his constituents. Senator Farley stated that he was appalled by the rise of sub-prime lending, particularly in Montgomery County, and the potential dangers involved. It is great that he is appalled, but where has he been on this major issue for the past year? Why has he not been fighting to protect consumers who are losing their homes to predatory lenders? Senator Farley is chair of the powerful State Senate Committee on Banks, yet he has not acted in the interests of the consumers and has allowed predatory lenders and risky mortgages to drive hard working people into foreclosure bankruptcy.

For the Senator to just now be catching on to the most significant financial crisis to face the country in decades shows a failure of leadership. Headline after headline from newspapers to television have covered the crisis and the plight of working Americans facing financial disaster. The mortgage crisis has now led to credit card debt surging and a double digit increase in the percentage of people falling behind and becoming delinquent. Even those families who are able pay their bills are finding that their home values are falling and credit is becoming more difficult to obtain. These are the very symptoms that have led to a possible recession.

For nearly a year, the media has loudly been warning of the expanding crisis. It seems Senator Hugh Farley slept through the wake up call and that is costing all of us.