New U.S. Senate bill seeks to keep lawmakers’ hands off Fannie Mae and Freddie Mac

TRD New York /
Mar.March 15, 2013 11:00 AM

A bipartisan group of lawmakers is looking to keep their colleagues from using Fannie Mae and Freddie Mac to balance the federal budget, according to the Wall Street Journal.

Sens. Bob Corker,  Mark Warner, David Vitter and Elizabeth Warren have introduced a bill called the “Jumpstart GSE Reform Act,” which would prevent Congress from using increases in fees charged by Fannie and Freddie to bankroll spending increases or tax cuts.

Warren, of Massachusetts, and Warner, of Virginia, are Democrats. Corker and Vitter — from Tennessee and Lousiana, respectively — are Republicans.

“This bill shows that Republicans and Democrats do agree on the urgency required to reform the mortgage finance system,” Vitter said in a statement.

The measure also would prevent the Obama administration from selling off shares in the now government-backed lending giants without congressional approval.

Many analysts, however, are skeptical that the White House would sell off shares in Fannie and Freddie, despite its public statements that Freddie and Fannie should eventually not be controlled by the government. [WSJ]Christopher Cameron


Related Articles

arrow_forward_ios
Ex-Fannie Mae employee in LA sentenced in bribery, kickback scheme

Ex-Fannie Mae employee in LA sentenced in bribery, kickback scheme

Cammeby's International Group founder Rubin Schron and, from top: 194-05 67th Avenue, 189-15 73rd Avenue and 64-05 186th Lane (Credit: Google Maps)

Ruby Schron lands $500M refi for sprawling Queens apartment portfolio

1735 York Avenue and Bonjour Capital's Charles Dayan (Credit: Google Maps)

Dayan’s Bonjour Capital inks $115M refi for Upper East Side building

US home mortgage debt surges past pre-recession record

US home mortgage debt surges past pre-recession record

FHFA director Mark Calabria is ready to set Fannie and Freddie free, while Wall Street worries about potential risks.

Wall Street warns against privatizing Fannie and Freddie without Congress guarantee

FHFA director Mark Calabria (Credit: Federal Housing Finance Agency and Getty Images)

Trump official to pressure Congress to privatize Freddie and Fannie

Mortgage rates plummet to lowest levels in nearly 2 years

Mortgage rates plummet to lowest levels in nearly 2 years

FHFA director Mark Calabria (Credit: Federal Housing Finance Agency and iStock)

Trump’s move to take Fannie and Freddie private could mean higher mortgage costs

arrow_forward_ios
Loading...