Bailout Draft Text

(2) MODIFICATIONS.—In the case of a residen-tial mortgage loan, modifications made under para-graph (1) may include—-
(A) reduction in interest rates;
(B) reduction of loan principal; and
(C) other similar modifications.

In the Bailout Draft, as expected, modifications regarding residential mortgage loan is included. I am completely for people keeping their homes, but from a home owner fairness perspective, I would hope Option C would be used, whereby home owners are expected to pay a lower monthly mortgage over a longer period of time. The net is the same amount of money pushed through the economy.

A PDF of the Bailout Draft Text can be found on CNN.

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