Goldman Sachs, Bank of America, and others that received tarp have basically used those funds to purchase the treasuries/bonds that support tarp in the first place.  They are being charged less interest for tarp they received, than what the government is paying THEM to purchase the aforementioned treasuries/bonds. 

We, Fannie and Freddie, are paying 10% interest on every dollar coming to us.  That comes out to be more than we’ve made except for one of our best years ever.  And we’ve paid it.  It turns out that this 10% interest may be what causes us to ask for more money, in essence trapping us in debt to you, the taxpayers.

One fine gentleman out of Texas, Kenny Marchant, has this in mind. 

“The dividend payments add to Fannie and Freddie’s debt, giving the exchanges a peculiar circular nature. Fannie and Freddie are essentially paying money to the government from money the government loans to the two companies.

The dividend payments have received scrutiny from GOP Rep. Kenny Marchant (Texas), who sits on the House Financial Services Committee.
Marchant, who said he’s heard Fannie and Freddie officials chafe about the arrangement in meetings he has requested with the companies, is worried the high dividend payments will make it more difficult for the two companies to pay back taxpayers.

  Marchant suggests setting interest on the loans from the federal government at something close to the 3 percent rate for interagency exchanges. He’d also set up a structure to ensure the companies pay off their debt to taxpayers before shareholders could see a return. ”

Read all of it here: 

http://thehill.com/homenews/house/96053-payments-burden-fannie-freddie

I’m glad this guy is on the financial committee.

You the taxpayers, who we would like to point out are also in many cases, home-owners, can thank us for the ~5% 30-yr fixed interest loan.  If we did not exist, such would not be the industry standard.  If we no longer exist, you can bet your sweet-tea that whatever private parties come back into it (after running off like little girls), will squeeze you for every penny.  5-yr 10%ARM (adjustable rate mortgage, with 10% for starters) will be the new norm, as it is in Britain today.  In other words, if you can’t pay off your mortgage in 5 years, you don’t buy.

So give us a hand, so we may continue to give you a hand.  We’re already paying you 10% interest.  cheers,

fannie and freddie.

That is the root of the problem.

And honestly, I appreciate your response.  I really do not mind respectful dialogue and discussion of the issues.  It’s when the name calling or belittling starts that I stop answering because there is no point. 

I appreciate your willingness to say what you do and do not like abt Obama’s Administration.  Keeping an open mind is the best way to try and keep our government working FOR us, not against us.  Too often, it seems to be the latter, whether it was Bush/Cheney, or Obama/Biden (Pelosi, and Reid). 

So, PO, this kind of dialogue is most welcome.  Thanks!

Now, one of the reasons I stopped coming to this site is that despite writing a paragraph like that, the hate chorus here will still inevitably accuse me of being a mindless Obot who just parrots the company line. Which gets unbelievably boring after awhile. But thank you for the cordial replies, Rev. Amy. And yes, I did come back largely to see whether you in particular had commented on Kagan yet, which yes, I acknowledge, is a compliment.  

And that is an EXCELLENT idea, Ferd!!  Hmm.  But you know, whenever we point out things like that, like Obama backing all of these Bush policies (wiretapping, Faith based initiatives, etc.) that he had railed against previously, they just find ways to dismiss, excuse, or ignore it.  At least in my experience. 

But let’s give it a go – so Prime Obot, what do you think abt Obama considering weaking Miranda?  Just wondering…