in News > Residential Mortgage
print the content item


Ben Bernanke has weighed in on the growing debate over the federal debt ceiling, arguing that the nation could do without it.

TheHill.com reports that the Federal Reserve chairman was asked for his views on the debt ceiling during an appearance yesterday at the University of Michigan. "It would be a good thing if we didn't have it," Bernanke said, adding that the current $16.4 trillion debt limit makes no sense in view of current federal spending. "This is sort of like a family saying, 'Well, we're spending too much, let's stop paying our credit card bill.'"

When asked if the debt ceiling had any value, Bernanke responded, "No, it doesn't really have - it's got symbolic value, I guess."

Bernanke also rejected a controversial proposal that would enable the U.S. Department of the Treasury to mint a $1 trillion coin and deposit it with the Federal Reserve, thus allowing the continued funding of the federal government.

"I'm not going to give that any oxygen," Bernanke said. "There are legal issues, there are policy issues - I don't think going in that direction would be very helpful."




Latest Top Stories

Virginia Sues 13 Banks For $1.15B Over Faulty RMBS

Virginia is suing 13 banks, including Citigroup, Bank of America and Goldman Sachs, for $1.15 billion over claims the institutions misled the state's retirement system about the sale of faulty RMBS.


Freddie Mac: Great Year So Far For Apartment Construction

Construction of condominium complexes is "scant," at least in comparison to 2006, and single-family construction is just "chugging along," Freddie Mac reports.


'Access To Affordable Mortgages Act' Introduced In The House

Rep. Blaine Luetkemeyer, R-Mo., recently introduced the Access to Affordable Mortgages Act, which aims to exempt certain higher-risk loans from property appraisal requirements under the Truth in Lending Act.


Black Knight: HELOC Reset Storm Approaching

A report from Black Knight Financial Services shows that at least 2.5 million HELOCs will face resets over the next several years, resulting in an average increase of $250 per borrower monthly payment.


CFPB Selects Vendors And Lenders For Its Mortgage E-Closing Pilot

Five technology firms and seven lenders will participate in the CFPB's e-closing pilot, which will explore the viability of developing a standard process for closing mortgages using technology.

Urban Lending_id1351
Hse SandyHook
Industry Resource
Play for Pink
SWBC_id1313
Safeguard_id1322
FedHomeLoan_id1341