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."

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Filed under: Candidate Barack Obama • John McCain
soundoff (428 Responses)
  1. jimmy from salt lake city, UT

    a desperate politician throwing blatted solutions in the air 3 weeks before elections day..is that your Joker card McCain? We are smart too Obama has proposed his plans way before..

    Obama/Biden 08

    October 8, 2008 02:48 pm at 2:48 pm |
  2. David

    Also, to all of those who think McCain is finished and are already coronating Obama; there is a month left and things can happen. I would not be surprised if the neo-cons manufacture another Bin-Laden tape or some false flag operation to boost McCain. We have already seen the manufactured economic crisis.

    October 8, 2008 02:49 pm at 2:49 pm |
  3. victor,nj

    WHAT PARTY IS HE RUNNING AS. I NOW PREDICT THAT BOB BARR WOULD HAVE 8% OF THE POPULAR VOTE.

    October 8, 2008 02:49 pm at 2:49 pm |
  4. ANGIE

    I live in PA montgomery county i live right near Bethelem that rally is a FRAUD a couple of my friends obama supporters wanted to go in and they got kicked to the curb, one girl sayed something about obama and they were not allowed in not to mention that area is CONSERVIATE REPUBLICANS mccain/ palin rallies are a SHAM! FRAUDS

    October 8, 2008 02:50 pm at 2:50 pm |
  5. Dana, NYC

    From Matt: "You idiots that want to just spew your hate without thinking first need to reconsider McCains mortgage buyout plan.
    Primary residence only.
    If the government buys the bad mortgages, they get the interest paid on the mortgages as well. The mortgages get paid off plus interest."

    First of all Matt, who are you calling idiots, you arrogant brainless McPalin fanatic? We got that, and that is why we don't agree with his idea. I am paying for my mortgage and I do not want to pay for anyone elses. Got that you freak?

    October 8, 2008 02:50 pm at 2:50 pm |
  6. Perry

    McCain and Palin are slinging the mud fast and furious. Too bad, none of it is sticking.

    October 8, 2008 02:50 pm at 2:50 pm |
  7. what?

    @ tatanka,

    Are you dumb or just ignorant of how things work? You say that tax and spend is ok and that the democrats know how to bring money in...

    WHAT?

    Sure, they'll raise taxes(bring in the money)...but their programs still cost twice or more as much as they bring in...THAT'S the whole problem. You're ok with THAT? The Republicans are guilty too.

    October 8, 2008 02:51 pm at 2:51 pm |
  8. Thanks McCain

    "That One" – Seems like every nasty dig and jab John McCain tries to throw at Obama seems to fumble to his dis-advantage. Sorry John didn't anyone tell you to it better to "play nice". CNN Just add another 3 points to the poll scores for Obama today. Minus 2 points for John McCain for un-necessary ruffness.

    October 8, 2008 02:51 pm at 2:51 pm |
  9. Mark, Vancouver WA

    Whatever happened to personal responsibility? I bought my house at an agreed upon price and saw this as an investment – every investment carries some risk. Housing prices may go up, or down – but you are still responsible for your investment. Now McCain wants to use my tax dollars to help out those that bought homes at inflated prices? What happened to the free market? Should I just say I can't pay my mortgage so I can get some of my own tax money back? This bailout scheme is becoming more ridiculous by the day...

    October 8, 2008 02:52 pm at 2:52 pm |
  10. ltd1974

    CNN POST THIS

    O-outstanding
    B-brilliant
    A-amazing
    M-magnificent
    A-american

    October 8, 2008 02:52 pm at 2:52 pm |
  11. Yolanda

    What an angry man McCain has become.

    October 8, 2008 02:53 pm at 2:53 pm |
  12. Cindy

    I watched the debate last night, and I was very upset about the "that one" said by Mccain..But I was equally upset when Mccain was anserwing Oliver's question..He said so that "americans like Allen" could save there homes. Why would he do that he was talking to Oliver. Why didnt he say so that americans like you oliver can save your homes. I caught that and I thought it was very, very disrespectful to Oliver and very racist..

    October 8, 2008 02:53 pm at 2:53 pm |
  13. blaising

    "Idon't know much about the economy" John McCain

    That One '08

    October 8, 2008 02:53 pm at 2:53 pm |
  14. Barbara - Texas

    John McCain what else do you have in your Carl Rove bag of tricks?
    All the previous smoke screens didn't seem to work.

    October 8, 2008 02:53 pm at 2:53 pm |
  15. dave g, minneapolis

    Victor, nj,

    BOB BARR IS RUNNING AS LIBERTARIAN.

    Check his website out. He has youtube videos of him addressing the important issues...like no bailout. Returning troops from Iraq. Foreign policy. Individual responsibility and smaller government.

    BOB BARR IS THE ONLY CANDIDATE THAT IS TALKING ABOUT REAL MEASURES TO FIX THE ECONOMY.

    October 8, 2008 02:54 pm at 2:54 pm |
  16. Ohio

    Out of touch McFail!

    October 8, 2008 02:54 pm at 2:54 pm |
  17. jaye

    How much more does the nation need to hear before they finally realize that John McCain is demented (and I mean that seriously).
    And Sara Palin is trying to stir up the crowds into believing that Senator Obama is a terrorist! She is sending messages to the nut cases of the world to go after Obama. Someone needs to muzzle her quick!

    October 8, 2008 02:55 pm at 2:55 pm |
  18. FJ from Atlanta

    What was this $700 billion bailout for?

    Why didn't he say something when meeting with bush and obama or while he was in the senate?

    McCain is clueless!

    That One '08

    October 8, 2008 02:55 pm at 2:55 pm |
  19. kalkrish

    OBAMA WHAT ELSE YOU HAVE IN THE HILLARY CLINTON BAG OF TRICKS?

    October 8, 2008 02:56 pm at 2:56 pm |
  20. Jason

    McCain lied about his age to Cindy when he first met her. He's still stretching the truth to try to win relationships with voters. Tell us what we need to hear, not what we want to hear.

    October 8, 2008 02:56 pm at 2:56 pm |
  21. Bill

    Poor old goober is pretty clueless, isn't he!

    October 8, 2008 02:57 pm at 2:57 pm |
  22. Judy

    What was the bailout for McCain or did you just sign your name on a dotted line and not read?

    October 8, 2008 02:58 pm at 2:58 pm |
  23. jfs Memhis, Tn

    This is a fantasy.............no plan..........just throwing something out there. Sort of like his chances to be President......A FANTASY

    October 8, 2008 02:58 pm at 2:58 pm |
  24. Karen - Missouri

    McCain gets more erratic with every breath he takes.

    first off, he is the most un-presidential personality this country has ever encountered! Hate, division, forgetfulness, lies, deceptions...and they're OBVIOUS! That's the LAST kind of person we need right now!

    Of all the hairbrained schemes I've ever heard of is to buy those mortgages? What about those who did so as speculators? Or for second/vacation homes?

    After all the failed years of deregulation, and not wanting Americans to all have healthcare, now McCain wants the government to go into the mortgage business? Get a grip McCain!!!!! The BANKS should've been renegotiating all along once they saw how many foreclosures were happening.

    I am so disgusted with the McCain/Palin ticket I can't BEAR to watch them on TV. They're both disgusting and trying to suck up to the rest of us. McCain IS Bush, even WORSE, and I pray to GOD McCain doesn't even get reelected to the Senate! We don't need bigots like McCain anywhere near Washington!

    October 8, 2008 02:58 pm at 2:58 pm |
  25. ready for change

    what is it we try to teach our children? GOOD SPORTMAN SHIP. mccains no handshake after the debate, his awful referral to Senator Obama as THAT ONE , JUST SHOWS HOW UNCARING HE IS.

    October 8, 2008 02:58 pm at 2:58 pm |
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