October 8th, 2008
12:00 PM ET
6 years ago

McCain mortgage plan shifts costs to taxpayers

Sen. John McCain
Sen. John McCain

NEW YORK (CNNMoney.com) - Under a mortgage rescue plan announced at the debate Tuesday night by Senator John McCain, much of the burden of paying to keep troubled borrowers in their homes will shift to taxpayers.

McCain's original plan called for lenders to write down the value of these mortgages, and take those losses. McCain unveiled the new $300 billion plan in response to the first question of the debate.

He said, "I would order the Secretary of Treasury to immediately buy up the bad home loan mortgages in America and renegotiate at the new value of those homes, at the diminished values of those homes, and let people make those – be able to make those payments and stay in their homes."

Full Story


Filed under: Candidate Barack Obama • John McCain
soundoff (428 Responses)
  1. irony

    i find it hard to believe any conservative would support socializing home ownership at the cost to the taxpayers.

    October 8, 2008 02:11 pm at 2:11 pm |
  2. mitch

    gallup daily tracking
    obama 52%
    mccain 41%

    October 8, 2008 02:11 pm at 2:11 pm |
  3. tatanka

    That sounds like a republican president.

    October 8, 2008 02:11 pm at 2:11 pm |
  4. Jack

    Remember this is the guy that supported good ole George Bush over and over again. I have a good idea what he'll give us in the next four years....exactly what we got from George!

    OBAMA for a new direction.

    October 8, 2008 02:12 pm at 2:12 pm |
  5. Great Solution

    Sounds like he's onto a plan to save our economy. I guess we don't have to disturb Obama by calling him on the phone.

    October 8, 2008 02:12 pm at 2:12 pm |
  6. ERIC

    OBAMA IS THE HOT HEAD NOT MC CANE
    WHO WAS IT THAT CONTOLED THE MONEY GOING TO SCHOOLS TEACHING KIDS TO BE RADICALS

    October 8, 2008 02:12 pm at 2:12 pm |
  7. TN Obama Mama

    This plan is not good for McCain, he did not even explain how it was supposed to be different from the " RESCUE" as he called it. By the way did anyone watch Hardball last night? As a TN voter and Obama supporter, I thought it was wonderful how there were so many Obama supporters in Nashville. Chris Matthews even stated it was like being at a democratic convention, and TN is supposed to be a red state. You could literally count the McCain supporters on your hands!

    October 8, 2008 02:12 pm at 2:12 pm |
  8. Desmond Sequeira

    "THAT ONE" is indeed "THE ONE". McSame/Failin gives us absolutely NO OTHER CHOICE

    October 8, 2008 02:13 pm at 2:13 pm |
  9. melvi

    The gov't has shown it can easily raise a trillion (or 5 during the Bush term alone) so why not raise a couple more two to set up a Manhattan or Apollo type project to produce solar cells dirt cheap. We probably can pay off our national debt by selling these to the world. Then the whole world gets unlimited supply of cheap and clean energy.

    October 8, 2008 02:13 pm at 2:13 pm |
  10. Eric

    I'm voting for That One!!!!

    Obama/Biden 08

    October 8, 2008 02:13 pm at 2:13 pm |
  11. Doris,Memphis,TN

    America loves "That One"!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!OBAMA.
    We also love "That Other One"!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!BIDEN.

    October 8, 2008 02:13 pm at 2:13 pm |
  12. Lexie

    It's over......he finally has lost his last marble.

    October 8, 2008 02:14 pm at 2:14 pm |
  13. Maggie Muggins

    Poor John he has gone past desperate and is putting either little or no thought into what he says or does.

    It's too little too late to make any economic plan changes now as people will not believe any new policies and simply write them off as lies to try and turn the election around with no real intention of implementing them if he got elected.

    October 8, 2008 02:14 pm at 2:14 pm |
  14. Desmond Sequeira

    "That One" is after all "THE ONE". Mcsame/Pailin gives us absolutely no other choice!

    October 8, 2008 02:14 pm at 2:14 pm |
  15. Amy

    John McCain is the ultimate flip flopper. First he wants to be seen as the knight charging in to save the first bailout. Then after falling flat on his rear in that effort as shown by no AZ republicans voting for it he turns around and votes for the one stuffed with pork – something he's cited previously as his reason for voting against important issues. After he voted for it he was trying to find a way to distance himself from it, and then last night he announces that he wants to spent $300 million more of our money?!?!

    Who is the real John McCain???

    October 8, 2008 02:15 pm at 2:15 pm |
  16. elvera

    No doubts, McCain has no the slightest idea how to fix our economy, financial system, Social Security, Medicare, or anything. This is the reason McCain and his campaign will continue to throw dirt, spout lies, misrepresentations, and smears. McCain and his VP, Sarah Palin, are intellectually-challenged, arrogant, and hateful people. 'John McCain can throw the entire sink at Obama and he will not win the White House. The lack of common sense, arrogance, self-praise, old age, bad judgment and hatred has cost John McCain the White House. It is over, and John McCain knows it and that is why Americans are seeing so much of hidden hatred gushing from his mouth. I'll say it again, ‘it’s not what goes into a man that defiles him, it's what comes out’. I support this message; I think this is a brilliant description of McCain.

    October 8, 2008 02:15 pm at 2:15 pm |
  17. SENATUS POPOLUSQUE ROMANUS

    One more demonstration that McCLOWN cannot grasp anything about Economy.

    October 8, 2008 02:15 pm at 2:15 pm |
  18. VALUES

    THIS GUY IS A MORON. AND PALIN IS A JOKE.

    October 8, 2008 02:15 pm at 2:15 pm |
  19. Ken

    So McCain is telling those with big mortgages on homes that have dropped in value to just stop paying the mortgage. Pay off the credit cards and wait for Big John to buy your mortgage and then give you a mortgage at a lower amount.

    If you have an expensive house in places that have been hard hit you can save hundreds of thousands of dollars.

    So who pays? The mortgage holders take a hit, but they then pay less in income taxes so the taxpayers pick up about a third of the real costs.

    This could be a multi-trillion dollar bail out when you follow the money all the way back to the taxpayers.

    October 8, 2008 02:15 pm at 2:15 pm |
  20. mitch

    under john's plan we'll all end up in FEMA trailers.

    October 8, 2008 02:15 pm at 2:15 pm |
  21. Love My USA/Do You?

    The money is in the BAIL OUT, all McCain was saying, but not clearly, that this money would be spent the way it is allocated in the BAIL OUT.
    BO is still has to much baggage to be preseident of this country.

    LIES, DECEIT AND PROPAGANA IS HIS PLATFORM.

    DEMOCRAT VOTING STRAIGHT REPUBLICAN, AND SO SHOULD YOU, IF YOU WANT OUT COUNTRY TO BE FREE OF SOCIALISM

    October 8, 2008 02:16 pm at 2:16 pm |
  22. kenny cole

    ANY REP.OUT THERE?THEY ALL VANISH,ALL STATE TURN BLUE THE DEAL IS CLOSE OBAMA OUR PRESIDENT

    October 8, 2008 02:16 pm at 2:16 pm |
  23. JOHN

    PEOPLE WAKE UP OBAMA REDUCING TAXES THATS A JOKE .
    HE IS A DEMOCATE

    October 8, 2008 02:16 pm at 2:16 pm |
  24. Brian in upstate N.Y.

    canyou imagine either one in office?? Now that's DANGEROUS.

    October 8, 2008 02:16 pm at 2:16 pm |
  25. Jason

    In response to the comment about Fox News having an unbiased polling method: As a statistician, I can tell you that both Fox News and CNN have very biased polling methods. Both ask their own viewers to respond, so you will only get the opinions of viewers of Fox News or CNN respectively. As most people can deduce, Fox News is watched by a more conservative audience and CNN is watched by a more progressive audience. Thus, the populations polled by both organizations are inherently biased and this is why you will always see different poll results from both "news" organizations. Even the Gallup polls are biased (though much better) as they do not poll people who do not have a land line phone and are thus do not include the multitude of young people who only use a cell phone.

    October 8, 2008 02:16 pm at 2:16 pm |
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18