That poor unfortunate homeowner schtick is really code for shoveling ALL tax payer money into a PONZI scheme run by criminals. Nobody in power really cares about helping citizens. They care about getting people with jobs to keep paying on mortgage debt. They are feeding a ponzi-scheme on it’s last legs.

We have 10 million non-payers out there. What the government is going to try and do is filter through and find the people with the ability to pay something reasonable. I would not be surprised if they tried to “help” Bill. For some reason I don’t think bill would go for a principle reduction.

Really, the banks need help and that help is the government trying to convince people to keep paying something. This is a negotiation on a mass scale with the government as the banks agent negotiating with the FBs with jobs.

If they were honest it would go something like this:

“hello, this is Ben Bernake. We at the fed whose job it is to protect banks from taking on too much risk seemed to have made a few little mistakes. I completely understand if you did not see the bubble. heck, even I did not see the bubble and testified to congress ironically at the very very peak. you know I was telling the truth because I would be subject to 30 years in jail for making false statements regarding asset prices.

Anyway, we need everybody that has a job to please keep paying their mortgage. We understand that if you have half a brain, it does not make sense in many cases. For this we have principle reductions because what we do not need is a mass strategic defaults on an already fragile system.

If I wanted to be a real sleaze I would tell you all it is to help homeowners. But lets be honest the best thing for homeowners with jobs is to walk away en masse and home prices will plummet like there is no tomorrow. Well below what we are willing to reduce”