John McCain ‘s newly announced $200 billion plan to help households with mortgage debt could reward predatory mortgage lenders, writes the Wall Street Journal.

“The proposal, which McCain announced during Tuesday night’s presidential debate with Sen. Barack Obama, also could make winners out of investors — including predatory mortgage lenders — that the Bush administration and Congress have tried to exclude from the government’s largesse. And it raises knotty administrative questions about how the government would handle potentially huge numbers of mortgage refinancings. Among the challenges: screening out undeserving homeowners who might seek to qualify for help.”

Read the full story here.

Peter Fray

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