October 1st, 2008
09:33 PM ET
14 years ago

Senate backs Wall Street bailout


Sens. Biden, McCain, and Obama returned to Capitol Hill Wednesday night to vote on a revised bailout plan. The House is expected to take up the bailout again Friday. (Photo Credit: Getty Images)

WASHINGTON (CNN) – The Senate has approved the $700 billion financial rescue plan in a just two days after the bailout failed in the House.

The bailout was approved in a 74-25 vote. Both presidential candidates, Sens. Barack Obama, D-Illinois, and John McCain, R-Arizona, voted in favor, as did Democratic vice presidential candidate Sen. Joe Biden of Delaware.

"This has been a very difficult time for our country, but I'm very, very happy for this vote tonight," Majority Leader Harry Reid, D-Nevada, said after the vote. "It shows that when we work together we accomplish volumes."

The core of the Senate financial bailout bill is the Bush administration's original plan to buy troubled assets from banks, but the proposal includes a number of new provisions aimed at tax payers. The changes were intended to attract more votes from the House - especially from Republicans, two-thirds of whom voted against that version.

The House is expected to vote Friday, according to aides to Democratic leaders.

Full story

Filed under: Candidate Barack Obama • Economy • Joe Biden • John McCain • Popular Posts • Senate
soundoff (182 Responses)
  1. Bill

    Sorry, I meant 'after', not prior... 🙂 , but my point still stands...

    October 1, 2008 11:03 pm at 11:03 pm |
  2. Brian from NYC

    This is BS – where is the money for the average family that was used by all these firms to make millions! The Wall Street fat cats get bailed out while average joe can't pay their mortgage. Doesn't sound right to me!

    October 1, 2008 11:03 pm at 11:03 pm |
  3. Charlotte

    Why not give every adult in the USA 3 million, they would pay their mortgages,taxes and buy like crazy. The Government would get almost half back in taxes. The economy would flourish.

    October 1, 2008 11:06 pm at 11:06 pm |
  4. Dax

    We have to wait and see before we start throwing it down. What if we make monkey of this? Also I own a small business I need cofidence, at the very least, to return to market!!! Yesterday. People are not buying squat!

    October 1, 2008 11:06 pm at 11:06 pm |
  5. Charlotte

    Previous article closed so, I can't name Court cases I disapprove of, at least not by name. Roe v Wade is the most famous. The prayer in school is one other. I do think the States should decide most of the issues. I like her, and feel she is being ask to be something she is not and that reflects bad on her.

    October 1, 2008 11:12 pm at 11:12 pm |
  6. Bob

    The Senate voted to have our government spend over 700. BILLION dollars of taxpayer money to bail out Wall Street financial corporations. It's more of the same: taking from middle income taxpayers to give to the big corporations. This time it is by far the biggest handout of taxpayer dollars in our history. The already huge budget deficit will increase much more, and the resulting inflation will hit us hard for a long time. The Senate failed to consult with respected economists who had no ties to the Wall Street firms. The Senate failed to consider other plans that did not involve a huge expenditure of taxpayer money. The Senate made a hasty decision that the House will probably follow. Our nation and the taxpaying public will suffer for years. It is an outrage and a disaster.

    October 1, 2008 11:13 pm at 11:13 pm |
  7. Mrs. Texas Teacher

    ... can't help but recall that Bush, Jr. was one of the major recipients of the savings and loan bailout in Daddy Bush's term in office. I trust Obama to have checked this out thoroughly. So I will reserve judgement until we see how it works out. I am sure that Obama will bring this nation back to its former glory. McCain will surely lead us right down this same path after Bush! So, to me, there is no contest. Obama has to be out next President!

    October 1, 2008 11:14 pm at 11:14 pm |
  8. It Had To!

    Whether we like it or not, this "Rescue Plan" (aka bailout) had to happen.

    ...and yes, McCain still receives my vote...

    October 1, 2008 11:15 pm at 11:15 pm |
  9. Trollmaster

    It's best to do a less costly band aid solution for now and address this problem when we have a real president. With W Bush at the helm, our nation right now is leaderless.

    October 1, 2008 11:17 pm at 11:17 pm |
  10. pp


    October 1, 2008 11:17 pm at 11:17 pm |
  11. Dax

    Why won't you post my comments? Can you answer that. I would like to participate!

    October 1, 2008 11:18 pm at 11:18 pm |
  12. BK

    Obama did nothing, except take money from Frannie just like Dodd. Where is the article about the monarator tomorrow night for the vp debate? Gwen Ifill is a Obama supporter and is writing a book about Obama. She stands to make a lot of money if Obama is elected. This is an outrage and a conflict of interest.
    Cnn did you tell everyone Obama has no economic experience what so ever.
    Obama-Acorn trained staff to sign people up to vote, voter fraud some are already in jail. In your face tactics. Also forced banks to make risky loans.

    Obama-Chicago eliminating his opponents, so he was the only one running.
    Obama- caucauses yelled and called people racist.
    Obama- Obama no revote for Michigan, because he knew he would lose.
    Obama-Ohio slick Chicago thug lawyer gets Ohio to vote a month early.
    See a pattern here with people's votes?
    Your news is biased, no wonder your ratings are dropping.

    October 1, 2008 11:18 pm at 11:18 pm |
  13. Mrs. Texas Teacher

    RHA.... I have to agree.. somehow someway, they always seem to bring it back to the Democrats. They have been in power for 8 years with a majority in Congress for 6 of those years, but it is still all the Democratic congress.... or don't let me forget... Bill Clinton! These people cannot accept responsibility for their dirty laundry... which is now hanging out to dry! So now we bail them out.... and these are the people who want to make the tax cut for the wealthiest 5% of this country permanent? Oh, yes..... surely McCain does not think we forget so easily? Seriously! We are sick of dirty politics that only favor the wealthy!

    October 1, 2008 11:19 pm at 11:19 pm |
  14. The Political Stray

    Public opinion was running over 90% against this bailout. Anyone want to tell us that the lobbyists aren't running this country?


    Oddly, people still were getting credit – the lending people really scored. Amazing if you think about what they've done to the public these last few years.

    Considering this mess was largely due to Congressional neglect, maybe they shouldn't be in charge of any investigations? Duhh.

    Throw all the bums out. Streamline impeachment.

    Outlaw lobbying.

    Make lying or damaging the public body illegal.

    October 1, 2008 11:20 pm at 11:20 pm |
  15. Ron

    The government didn't learn anything for the crash of the 1920's,they enacted laws to keep that from happening again,but special interest and big banks got it repealed. History repeats itself again,they gambles and lost but we will be paying the bill will there coffers are refilled.

    There is a quote attributed to Benjamin Franklin who probably saw this day coming. “When the people find they can vote themselves money, that will herald the end of the republic.” To bad we don't have representatives in Washington that have the wisdom those men did. All they care about is getting reelected and living off our backs.

    October 1, 2008 11:21 pm at 11:21 pm |
  16. earth cruiser

    Vot-em OUT all of them. We need a new congress . These greedy blood suckers ladled that bailout with 150B more in PORK favors for one another. They couldn't put out a clean bill for the sake of thepublic welfare. Gridlock is still with us even in hard times. Those old 3, 4, 5 term jerks just live off us like a tick.
    Let's put all new people in congress, If we don't take back government from goverment, the Mayan calendar may come true the end will be 2012.
    Vot-em OUT Now!!!!

    October 1, 2008 11:21 pm at 11:21 pm |
  17. Chuck

    George Bush has been in office for 7-1/2 years. The first six years the economy was fine.

    A little over Two years ago:

    1) Consumer confidence stood at a 2-1/2 year high;
    2) Regular gasoline sold for $2.19 a gallon;
    3) The unemployment rate was 4.5%;
    4) The DOW JONES hit a record high — 14,000 + ;
    5) American’s were buying new cars, taking cruises, vacations o’seas, living large!…

    But American’s wanted ‘CHANGE’! So, in 2006 they voted in a Democratic Congress and yep –
    we got ‘CHANGE’ all right.

    In the PAST 2 YEARs:

    1) Consumer confidence has plummeted;
    2) Gasoline is now over $4 a gallon & climbing;
    3) Unemployment is up to 6% (a 10% increase);
    4) Americans have seen their home equity drop by $12 TRILLION DOLLARS & prices are still dropping;
    5) 1% of American homes are in foreclosure.
    6) As I write, THE DOW is probing another low ~~ 11,100–

    October 1, 2008 11:24 pm at 11:24 pm |
  18. Back in the US... Back in the US...Back in the USSR

    Okay...Let me see if I have this right:

    We're using socialism to save a failed, corrupt capitalist system?

    And I have to pay for this... Why???

    October 1, 2008 11:26 pm at 11:26 pm |
  19. Charlotte

    Oh and by the way, any Democrat with any sense at all will steer clear of that Keating Five business. Four of the five Senators involved, (up to their eyebrows,) were Democrats who took a lot more money from Keating then McCain, and none of them testified against Keating at his trial, with the exception of McCain.

    October 1, 2008 11:27 pm at 11:27 pm |
  20. RRV

    the day capitalism died!!! formally!! Taxpayers souls sold to Goldman Sachs

    October 1, 2008 11:31 pm at 11:31 pm |
  21. Kate Fergus

    As usual, the Democrats had to give into the Republicans' need to add pork. I am sorry this had to be the case. Clearly the Senate and House members are worried about their political futures.

    Tax breaks for corporations and letting banks leave their losses off the books – republican pork.

    I only hope that in January when Obama becomes President, he will be able to reign in some of that pork.

    October 1, 2008 11:39 pm at 11:39 pm |
  22. Independent, white female !

    I think that we need to make sure that our politicians are being held accountable when they spend our hard earned tax dollars. We need to make sure that we change the way Washington does business, we need to get a little more involved, this is our country, our future, our economy, we the people should not sleep at wheel and allow Washington to continue to do what politicians have always done. We must get involved an dthat is why I support Senator Obama in his race to the white house. He is from a genration that is educated about the importnace of communication and diplomacy,highly intelligent and knows how to deal with the crumbling economy, he is a believer in transparency and we the people have supported his campaign. Unlike Mccain who has been supported by lobbyists and has sided with the big wall street moguls. He is supportive of the top 1% of the american population. His judgement call to choose Sarah Palin was one of the most compulsive and politically motivated moves ever. How can Mccain offer this type of job, at his age, to someone without vetting her properly. I interviewed my dog groomer/ walker more than he interviewed her. It is a clear sign for me that he is not the man for the job. Obama will fight tooth and nail, I just know it to make his presidency one to g down in history, not only as the first african american, but as one of the best presidents we've ever had and the best free world leader ever saw!

    October 1, 2008 11:40 pm at 11:40 pm |
  23. Common Sense in Texas

    What a surprise. The congress voting to bail out what they screwed up in the first place. I'm livid. No one bails me out when I make a stupid financial decision. I have to take responsibility for my own poor decisions. Fred I agree someone needs to go to jail- CEO's the head of Fannie Mae and Freddie Mac, a few congressmen and women who wouldn't heed the warnings of McCain and other Republicans a couple of years ago. Just like anything else though follow the money and you will find the crooks.

    October 1, 2008 11:44 pm at 11:44 pm |
  24. tehama

    L ets see what the house does

    October 1, 2008 11:46 pm at 11:46 pm |
  25. Independent

    Who were those two rude senators sitting behind Senator Obama when he was addressing Congress before the vote for this bill?

    October 1, 2008 11:46 pm at 11:46 pm |
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