CHESSNOID

I think the idea and the intent is good.  The execution is terrible.  I sincerely think Obama needs to surround himself with more hands-on result oriented people than academic professors on his economic team.  Bernanke (there is no recession),  Geithner (let’s give bonuses to the bailed out banks) , and Romer (approve the stimulus bill and unemployment won’t go above 8%)  have all demonstrated being wrong in their assumptions and continue wasting time defending themselves for being incompetents.

Dec. 8 (Bloomberg) —

A majority of the 3.2 million borrowers targeted by the U.S. Treasury Department for mortgage relief under the administration’s foreclosure prevention program are unlikely to qualify, an agency official said.

Fewer than 1.5 million homeowners were eligible as of last month for President Barack Obama’s Home Affordable Modification Program, Herb Allison, Treasury’s assistant secretary for financial stability, said in written testimony to be delivered to the House Financial Services Committee today.

“Although we know that not every borrower will qualify for a permanent modification, we are disappointed in the permanent modification results so far,” said Allison, who is the former chief executive officer for federally controlled mortgage- finance giant Fannie Mae.

Banks are rushing to meet a new deadline announced by Treasury Nov. 30 to permanently convert more than half of the 650,994 loans that were in trial modification plans at the end of October into permanent reductions by year’s end. Allison said “thousands” of borrowers have received permanent loan changes so far.

Out of 3.2 million target only thousands (meaning not over 10,000) have had successful permanent modification.  This is a demonstration of poor execution.  I talked about NACA before and this non profit organization has helped many more people than the tax payer funded government bailout.  It seems like the bailed out banks are hoarding the money.