Debt settlement continues to grow at a rapid pace as more and more consumers are having trouble to affording their homes and credit card payments. According to Bryan Dornan, who manages a San Diego internet marketing company, Nationwide Marketing, “In the last two decades, our economy saw robust growth that was created mostly from home equity spending and free flowing credit markets.” Dornan continued, “Without facing the truth of our financial market and formulating a better game plan and executing it accordingly, our economy will continue to sink with more foreclosures, bankruptcies and decreased spending.”
The government has introduced a pair of new programs that will provide $800 billion to help shore up mortgage lending and consumer loans for credit cards, student loans and auto financing. Treasury Secretary Henry Paulson has stated on several occasions how imperative lending is to revive the damaged financial markets for managing consumer debt that support our economy.
Paulson has voiced his growing concerns for opening credit lines with more banks lending to key markets for consumer debt such as credit cards and that came crashing down again last month. He says the new FHA mortgage lending programs are aimed to get borrowing back to more normal levels. Paulson claims that all the government programs have been aimed at supporting the lending that is vital to the economy. Clearly the top-down waffling from Paulson and the banking institutes need to come to an end. If banks don’t want to offer real mortgage refinance products or provide mortgage relief to struggling homeowners then they should stop putting their hand out for more bail-out money created from tax-payer funds.
