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Admin Mulls $40B Mortgage Plan

HeadlineOct 23, 2008

The Bush administration is reportedly considering a $40 billion measure to assist homeowners at risk of foreclosure and the banks they’ve borrowed from. According to the Wall Street Journal, the plan would give banks a financial incentive to restructure mortgages by having the government share in losses on the new loans. The chair of the Federal Deposit Insurance Corp., Sheila Bair, is expected to unveil the plans in testimony before the Senate Banking Committee later today.

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