You know that plan awaiting action in the Senate to help ease the foreclosure crisis and how it's not really a bailout of banks? It turns out it's really a bailout of banks, which makes sense considering it was actually proposed by banks.
The Washington Post today takes a look at the mechanics of the proposal, first suggested by Credit Suisse, which will essentially allow hundreds of thousands of homeowners to refinance their mortgages with lower-cost government-backed loans, very conveniently relieving the banks of the impaired debt. Bank of America soon got in on the act with a more elaborate proposal of its own.
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