The Real Deal Miami

Cram-down measure fails

April 30, 2009 04:18PM

The bankruptcy “cram-down” measure is effectively dead, CNBC reported. The measure would have allowed bankruptcy judges to modify home loans by cramming down the principal. The banking industry has opposed the proposal on the grounds that it would call into question the value of all home loans and raise everyone’s interest rates. Fifty-one senators voted against the bill, with 45 in favor of it.