McCain's $300 Million Mortgage Crisis Plan

Dear friends,

At the recent second debate between Senators Barack Obama and John McCain, the latter promised that he has constructed a $300 million plan to help citizens who are homeowners be able to remain in their homes, while having lower payments...

That is not a plan; rather, it is an ambition. After all, he did not even specify, region- or income level-wise, exactly who will actually receive aid. As well, he made no mention of either administrative or legal costs for lawyers and other representatives who will need to broker with the banks on behalf of the aforementioned homeowners.

Nonetheless, let us do some simple math. Suppose both the administrators and lawyers will work for free. Also, let us suppose that there are 100, 000 homeowners who need assistance, as opposed to the real number which is, currently, far greater. That means that each person will receive $3, 000 in aid (by dividing $300 million by 100, 000). Will that amount of money last long enough to insure that the homeowners will remain solvent? It seems that McCain is just trying to buy votes, at this point.

G. Djata Bumpus