SermonIndex Audio Sermons
Image Map
Discussion Forum : News and Current Events : The Dynamics of the 8/9/07 Stock Market Panic ... continue ...

Print Thread (PDF)

Goto page ( Previous Page 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 Next Page )


Chris said:

Are we supposed to watch the events? Are we purposed to watch for conspiracies? Are we supposed to watch for evil? Or are we supposed to watch for Christ?

Great post Chris. I have to agree with you. There is wayyyyy to much emphasis on these things then on seeking the LORD. Mind you conspiracies are curiously interesting, however most of them lead to superstitious nonsense., trying to fit them into bible prophecy and leading many away from fellowship with the LORD and fellowshipping with foolishness (we can thank dispensational theology for that).

I have no use for such information, but hey if you like it, have at it!

 2008/2/1 15:28

 Re: The Dynamics of the 8/9/07 Stock Market Panic ... continue ...

Hi Mike,

Since Chris posted, it seems maybe there are some misapprehensions going on around my posts in the News forum, which I may not be able to clear up. But, to take again your point about


It is, of course, 'straw'. There will be no money in heaven. Money can't buy salvation. Knowing about money falls into the category 'in part', as far as earthly knowledge goes, as do prophecies. We look forward to the day when there will be no more 'straw' to negotiate. The fire will have destroyed it. Amen.

Please genuinely forgive me for not elaborating more closely on my thoughts. First, I'm still learning, and secondly, I do appreciate that some people may be ahead on the matter. They have settled their hearts to go through with God as in a marriage - for better or for worse - and, they are trusting His provision, whatever that may be, just so long as they are counted ready to go in with the Bridegroom. Amen. Me too.

 2008/2/1 19:35

Joined: 2005/2/24
Posts: 2732


Hello everyone,

Forgive me for the appearance of a drive by earlier...I was unable to dip back in for a couple of days.

Admittedly where 'the problem' ends and 'my problem' begins here is not even clear to me in this area. However, let me share my heart here if you will.

Do you mean you don't like the News and Current Events forum

A sly question if you ask me...if we consider the less then objective perspective of many of our posts, and our blending of punditry and prophecy as "News and Current Events" then ...yes, I guess I do have a problem with this section in the forum. Whatever it's original intentions were, I see it now as a dilution of the greater theme.

Add to my concern the obvious fact that "News and Current events" are falling in truckloads on our heads these days, while pure fellowship and worshipful thoughts are growing more and more rare by the hour it seems. Many of us aren't even in local congregations, and we come here to partake of...what? More of the CNN and Time? Sigh. Truly, Imagine if you can, just one month without the news. Imagine if the piper didn't play the flute for us...whatever would we dance to?


Therefore, I see it as a matter of not being ignorant about the enemy's devices.

Whether by ignorance or not, you have participated in the enemies devices more then once with these points sister. Consider, please humbly consider, how burdensome and unlike the New Testament some of the wanton conspiracy conjecturing you have indulged in.

What a strain you have so easily put on our fellowship sister. You proclaim yourself to be for peace and non-violence, yet wantonly engage in political propaganda against my country. Am I not as spiritual as I should be to you? Am I a disappointment to care about such things? First consider the log in your own eye. Have you not considered how close are the devices of the enemy in the bloody and violent warfare around us? Will your public 'discernment' not achieve the same effect as Al Quiada or KGB efforts? They seem to know better then you that ideological attacks are one of the most important ways to participate in warfare. Are these ideological and political words also the tools of our spiritual warfare? I know they are not.

If you are shocked at the connection, then you may know just a small taste of the disappointment you and many others here have given me.

Consider that Neither Jesus, nor the apostles gave themselves the latitude that many here given themselves towards the political affairs of the nations. Jesus said My kingdom is not of this world: if my kingdom were of this world, then would my servants fight.... I wonder if Jesus would've included ideological and political fighting in his prohibition.

If you were truly 'not of this world' your speech would be less concerned with this world. As it is you, and many others here, talk out of both sides of their mouths...quoting bible verses and yet adding kindle to the earthly ideological struggle. (Something Christ and the apostles never did.)

At this point you can be shocked and offended, but accusing president Bush of plotting 9-11 (Different thread then this one...but the same spirit) entitles you to some offense. Compared to those poor souls dying in dutiful service to their various nations I do not have much honor I'm afraid. Yet, I have enough honor to not add to their misery by adding careless words in public internet space that only fuel the fires of war. If, for the sake of fellowship, we truly want to abstain from the wars of our nations, then let us abstain from all of war's cunning forms, practices, and guises.

Brothers, I do not ask anyone to be loyal to their nations if they feel God has called them to be nationless. But I think it is selfish to demand the same of your brothers and sisters in Christ who do not feel this extra-biblical calling. I do not recall Paul ever asking the people in his churches to publicly denigrate their nations or their governments. That is a mission that he was unconcerned with. Perhaps he knew better then to fracture the Church with his own political views.

Even John described the nations in spiritual terms. While he could've used contemporary and political terminology---he didn't. This is a discipline of love we in this international forum of saints must learn to practice. Our convictions must come under the law of love for one another. This, I believe is the way to be 'nationless'.

Our personal views may be rooted in valid and meaningful experiences. Yet we exceed the liberty of grace to force our burdens on others, when such a burden is not required from the Lord himself.


Regarding any coming financial problems we are going to face...I think we would better spend our time exhorting one another to have godly character towards money, and to build one another in the faith of God's care, then reading to one another the worries and fears of unsaved men.

I have (recently) had the privilege of ministering to both the unsaved and the saved, and the middle class and the homeless, these past few weeks. Never once did I feel the need to talk to them about a coming depression or about the rise of China's economy. Never once did I feel to counsel them on their finances (or the dollar).

Oh the love of God in our shared hearts brethren! Let's be filled with the character of God before being angry and mistrustful towards this world. What shrewdness do we hope to acquire through all our digging and undercover work? Is there not enough provision in God for even the unschooled? Will we save ourselves by watching China, India and Russia? No! Only let Godly character be formed in us towards money and we can leave all this financial angling to the heathen.


Let me share something personal. I've made and lost millions. Much of what so called prophets describe, I lived through. Praise God I learned not to drink from the deep well of sorrow, but from the limitless river of His faithfulness! Sorrow is the lack of something you think you desperately need...yet abundant joy and deep peace comes to those who find that in jesus they have more then enough provision. Ho, every one that thirsteth, come ye to the waters, and he that hath no money; come ye, buy, and eat; yea, come, buy wine and milk without money and without price.

Now I didn't suffer financially because I lacked some prophet's insight on China, or missing some financial wisdom. My misfortune was because I lacked the character of God towards money. The bible speaks clearly how to regard money...if we ignore the scriptures and the Holy spirit then we find that God is not mocked.

And so I spent a long and difficult season of being beaten with my own rod. Yet in the pain of my own making I learned to recognize the Lord's touch. The Lord is gentle and kind to take care of our daily needs. With his care, we walk through a mine field or worries and dangers and every footstep is his provision of grace.and a highway will be there; it will be called the Way of Holiness...No lion will be there, nor will any ferocious beast get up on it; they will not be found there.

Then why do we feel that there are so many lions and beasts in our hearts and minds? The Lord promises rest, but we are the tempests that stir one another to fear and worry about not having enough money. Call it prophecy, discernment, or watching if you dare, but I've learned there is no life in these things.

I'm not saying not to have political opinions or that having fears is wrong! Fears are quite natural. I am only saying that to batter one another with them in the name of Jesus is hurtful and burdensome. It has been my desire to practice this patient discipline for a couple of years now...but perhaps not enough. It becomes very difficult if others are goading and taunting with their own license.

In the end, I would rather leave then feel resentment towards others. Is this what it will be like in the last days? The dear fellowship of saints huddled in a room together, sharing the latest news from CNN or some can we think developing such habits will save us then or now?

Thanks for the ear. I pray for all of us to be more like Christ to one another. Forgive me for being more outspoken then normal, but I truly do value our community here. (Including you Dorcas!) Am I so courageous as to rebuke everyone here for being afraid? Not on your life. I know my weakness. That is why I resist the addiction to know instead of trust. These things tempt fear and dispair...maybe not for big strong Christians, but perhaps for your brother or sister in Church. Have we been as diligent building up their faith as we have in digging up our news stories? If the bomb ever dropped, would we suddenly cease from these habits and turn to building up the saints then? This pattern of character is something to consider. Today, both in our churches and here on SI I believe, we are given the time to develop Christian habits, and to practicing for greater challenges.



Mike Compton

 2008/2/1 20:25Profile

 Re: The Dynamics of the 8/9/07 Stock Market Panic ... continue ...

Hi Chris,

Thank you for the many questions about watching. I will certainly give more consideration to what I might [i]see[/i] if I'm watching even more carefully, under the guidance of the Holy Spirit, as I believe I am.

Also, I feel I should own up that I'm not really watching for the Lord's return itself, as I believe His critical comments about the Pharisees being able to tell the weather from the sky, (Matt 16), but not being able to discern the times, is a hint that we [i]should[/i] [u]be able[/u] to discern the times. From that and others of His words, we may tell which prophecies [i]are[/i] about to be fulfilled.

I don't go a bundle on non-scriptural terms like 'rapture' and at the moment I don't have an opinion about [i]when[/i] I think the Lord will return. Recent threads have pushed me back to scripture, and I'm still studying, (as you would say ;-) ).

As far as posting links such as the clip to President Bush's speech, I expect that most Americans who have a tv would have had a chance to see that broadcast live or in a newscast. I post them more for those who are not in north America, whose access to the internet may be quite limited or very expensive, so there is a relevant marker available to them immediately and with a date on it. Perhaps also I should say that most of my comments are factual, rather than speculative. That is entirely deliberate, as those who [i]do[/i] have a need to pick up on money news, can draw their own conclusions, pray, and act according to God's leading. I know you do this already, and that as you seek the Lord, He will lead you in the path [i]you[/i] should go. This same responsibility belongs to us all.

We know that Bush is the President of the most powerful nation on Earth.


I know you know that power shifts around the globe. This is not a new thought. But, you might be very surprised to know just how recently the statement you made which I've quoted, has entered the public domain. It is, by comparason, [i]very[/i] new. No-one was saying this as recently as five years ago. (I am not going to go searching for the earliest time it was heard publicly, but, feel free to prove me wrong.) This is a statement put out by the media. It may have begun as a quote from a speech or a document, but it has entered the public consciousness with nothing but sophistry to support it.

Do you really believe the statement to be true? (You don't have to answer.) But if you want to answer, how are you quantifying greatness, please?

I don't ask by way of a competitive spirit over whose country is best, richest or whatever other comparator could be used, but simply to ask you to think through whether you can really make that statement honestly, and if so, on what basis is it true? Also, I thought we already know from scripture (according to some people) that [i]the[/i] Antichrist is going to appear in a temple in Jerusalem, as the head of a one world government. Chris, I, too, have scepticisms, but that doesn't mean that the signs of the times are irrelevant. Some people's lives may depend on just one Christian knowing exactly how God wants them to field a life or death situation. I have no idea how ready I am, but it bothers me immensely that I don't [i]know[/i] I'm ready!

 2008/2/1 20:44

Joined: 2003/11/23
Posts: 4537


Hi pastorfrin...

A few questions;
Is not your extended post, here and elsewhere on these subjects, considered as ‘commentary’?

Are we to believe you over someone else on what you perceive as fact, allegation, assumption, interpretation and commentary? Why?

Just a clarification: I don't think that there is anything wrong with "commentary" (I actually own a few "commentaries" myself). Quite a bit can be gleaned from the words of others. But there is a very big difference between "commentary" and certain types of controversial allegations (news with commentary about some hidden "meaning" or "link") that are presented in a manner which places themselves and their allegations above reproof. Far too often, I find myself [i]suspicious[/i] of the public [i]suspicions[/i] of such "watchmen." That is the rationale behind my "commentary."

There certainly needs to be a clear distinction between "truth," "news," and the same that is mingled with commentary that "discerns" the "real meaning" of such things. It is a very easy thing to place a "disclaimer" in such matters (particularly regarding the allegations of conspiracy). All you have to write is, "[i]It is my belief...[/i]" or "[i]It is possible that...[/i]" All to often, such things are presented in a manner meant to boldy influence the minds of others simply because someone felt that they were called to be a "watchman."

A watchman is certainly needed in this hour. But what are they supposed to watch? And what is the manner of alarm that they are supposed to make? Are they supposed to allege specific conspiracy or simply to make us aware of the times and the imminent coming of the Lord? Far too often, I feel that many of today's "watchmen" are far too focused on the specific ideas and beliefs regarding the coming of the Antichrist rather than proclaiming the return of our Lord.

I feel that the call to "watch" is not simply to those called to supposedly be a "watchman" -- but to all of us. We can all watch for our Lord's return. We can all be aware of the events around us in regard to the return of our Lord.


I apologize, Dorcas. You beat my post, so I didn't have the opportunity to read your post before replying. I agree with a need to "discern" the signs of the Lord's return. But again, I think that this is very different than some of the allegations that are made (particularly of links between factual "news" reports and and "secret conspiracies").


 2008/2/1 20:58Profile

Joined: 2006/2/2
Posts: 55
North Central Indiana


Praise Jesus!! Lion of Judah!!!

Pr 11:4 Riches do not profit in the day of wrath, But righteousness delivers from death.

This is not only a proverb it is also a prophesy.


Hisservant rich

Matthew 4:17

 2008/2/2 8:03Profile

Joined: 2003/6/3
Posts: 4807


Brother Mike wrote:

Brothers, I do not ask anyone to be loyal to their nations if they feel God has called them to be nationless. But I think it is selfish to demand the same of your brothers and sisters in Christ who do not feel this extra-biblical calling. I do not recall Paul ever asking the people in his churches to publicly denigrate their nations or their governments. That is a mission that he was unconcerned with. Perhaps he knew better then to fracture the Church with his own political views.

2Cr 6:12 You are not restricted by us, but you are restricted by your own affections.
2Cr 6:13 Now in return for the same (I speak as to children), you also be open.
2Cr 6:14 Do not be unequally yoked together with unbelievers. For what fellowship has righteousness with lawlessness? And what communion has light with darkness?
2Cr 6:15 And what accord has Christ with Belial? Or what part has a believer with an unbeliever?
2Cr 6:16 And what agreement has the temple of God with idols? For you[fn2] are the temple of the living God. As God has said:

"I will dwell in them
And walk among them.
I will be their God,
And they shall be My people."[fn3]

2Cr 6:17 Therefore

"Come out from among them
And be separate, says the Lord.
Do not touch what is unclean,
And I will receive you."[fn4]
2Cr 6:18 "I will be a Father to you,
And you shall be My sons and daughters,
Says the LORD Almighty."[fn5]

In this section of Scripture Paul points out that the Corinthians are suffering from double-mindedness. They have affections for God and still have affections for this world. Paul is speaking of the hopes that still reside in the hearts of the Corinthians. The Corinthians are still immature this is why he calls them children. (reference verses 12 and 13)

Paul identifies that there are two kings and two people. There is Christ and Belial. There are believers of Christ and unbelievers who are subjects of their father Lucifer. Paul states that there is no gray area for one to remain in spiritual adultery and say they are sons of God.
(reference verses 14-16)

Paul then commands those who claim Christ to depart from this double-mindedness....

2Cr 6:17 Therefore

"Come out from among them
And be separate, says the Lord.
Do not touch what is unclean,
And I will receive you."[fn4]
2Cr 6:18 "I will be a Father to you,
And you shall be My sons and daughters,
Says the LORD Almighty."

We often say that there is wisdom in only the NT. Yet Paul goes back to the OT in hopes that we would learn from the examples given to us in Scripture. I have never added up the verses of the OT which speak of evil and good. I do not know the correct portion of Scripture which speaks of good. I do not know the correct portion of Scripture which speaks of evil. Yet, as a general perception, the OT Scripture seems to give us many many examples of how each generation was compromised by evil.

The world has not changed in these 4000 years. There is nothing new under the sun. Many in these NT times still live under this spiritual adultery. They have hope in Christ and the worldly system. They do not like to hear how this worldly system is compromising their walk with Christ.

In this present thread, the topic is about the greed, fear, and the foolishness of the kings and princes of this world and the path they have chosen to lead the sea of humanity down in this present generation. As in other threads, the topic widens and many times looses it focus.

Then why do we feel that there are so many lions and beasts in our hearts and minds? The Lord promises rest, but we are the tempests that stir one another to fear and worry about not having enough money. Call it prophecy, discernment, or watching if you dare, but I've learned there is no life in these things.

This reminds me of a promise in Scripture...

Isa 35:8 A highway shall be there, and a road,
And it shall be called the Highway of Holiness.
The unclean shall not pass over it,
But it shall be for others.
Whoever walks the road, although a fool,
Shall not go astray.
Isa 35:9 No lion shall be there,
Nor shall any ravenous beast go up on it;
It shall not be found there.
But the redeemed shall walk there,
Isa 35:10 And the ransomed of the LORD shall return,
And come to Zion with singing,
With everlasting joy on their heads.
They shall obtain joy and gladness,
And sorrow and sighing shall flee away.

The unclean shall not travel this highway. Because they choose not to walk this highway, they will continually encounter the lion and the ravenous beasts. Rest only comes when one stops struggling to find reason to hope in kings and princes of this earth.

Rev 14:8 And another angel followed, saying, "Babylon* is fallen, is fallen, that great city, because she has made all nations drink of the wine of the wrath of her fornication."
Rev 17:2 with whom the kings of the earth committed fornication, and the inhabitants of the earth were made drunk with the wine of her fornication."
Rev 18:3 For all the nations have drunk of the wine of the wrath of her fornication, the kings of the earth have committed fornication with her, and the merchants of the earth have become rich through the abundance of her luxury."

The inhabitants of this generation are being made drunk with the wine created by the kings fornicating with the great whore Babylon. These kings are now changing the scales of our money system. They are now socializing the risk created by their greed and immoral acts. They speak of free markets and yet seek to be saved from adhereing to free market principles.

Mat 17:24 When they had come to Capernaum,[fn7] those who received the temple tax came to Peter and said, "Does your Teacher not pay the temple tax?"
Mat 17:25 He said, "Yes." And when he had come into the house, Jesus anticipated him, saying, "What do you think, Simon? From whom do the kings of the earth take customs or taxes, from their sons or from strangers?"
Mat 17:26 Peter said to Him, "From strangers." Jesus said to him, "Then the sons are free.
Mat 17:27 "Nevertheless, lest we offend them, go to the sea, cast in a hook, and take the fish that comes up first. And when you have opened its mouth, you will find a piece of money;[fn8] take that and give it to them for Me and you."

The sons of the king do not pay custom or taxes.

We know that all Scripture is given to us for the purpose to enable us to "discern both good and evil." Those who do not want to discern evil have not heard Scripture.

Your brother in Christ

Jeff Marshalek

 2008/2/2 10:50Profile

Joined: 2005/2/24
Posts: 2732


Hi brother Jeff,

Thank you for your thoughts here. I certainly am in agreement to come away from this world's's affections and devices. The actual seperation can sometimes be a learning process. Sometimes we move too slow, or not fast and far enough. Sometimes we fail to see the evil in our culture, sometimes we become focused on it. In all of this we have patience for one another.

I am not loathe to have political opinions. However, I do feel that SI is an unusual situation comprised of international Christians on display before countless people. In this cirucumstance, I am wary that side concerns of the gospel over shadow the central fellowship.

This is not to say that we can not discuss the issue of war, or banking systems, or other controversial issues. But I feel we go to far to make synomymous our current convictions on these things with true Christianity. Perhaps there should be some places where these things are held at bay for a greater good. (At least I call it a greater good.) I sometimes feel we labor one another too hard on things that are important but not the Gospel.

I remember Michael Horton telling a story about two Christian men arguing with one another at a Vietnam protest. Later that day those same two brothers were praying for one another at the altar of a church. Obviously this place is not an altar...but it's as close any of us may ever come to one another.

Thanks you Jeff, for calling me a brother. I am in agreement with you on many many things. Most importantly we know in Christ we can affirm that our disagreements are inconsequential to the fellowship between us.



Mike Compton

 2008/2/2 12:06Profile

 Re: Just a quick comment


Katy-did wrote:
I'll just say it once again...blending faith in biblical prophecy in with secular punditry is strange alchemy.

I believe the Christian call is to walk by faith not by sight.

All this is keeping your eyes on the world, and off of Jesus Christ.


Hi everyone

I have no head for financial matters, but just to share an illustration I learned through a friend who had the disease of macular degeneration.

This is the "wearing away" of the retina (a thin layer at the back of the eye, that actually senses light) in the central part of the eye, where we focus when we look at anything. I was surprised that she was perfectly able to walk through town and avoid bumping into anyone, or stumbling on rough ground or steps; while my mother, who had cataracts, had to hold my arm and let me help her navigate.

The reason was that my friend's [i]peripheral[/i] vision was unaffected. She could see perfectly well out of the sides of her eyes; it was only when she tried to look directly at someone or something that she had problems.

Pondering on this, I realised that it is a parable!

If (assuming we have healthy spiritual "eyes") we focus on the Lord, rather than obstacles or dangers that may be in our way, then we can "navigate" better.

It is also much easier to avoid a missile if you are [i]not[/i] looking directly at it. If something is coming at us from the side we instinctively move to avoid it, it's only when its coming directly towards us that we have problems judging speed and direction and are more likely to get hit.

Focus on Jesus and we will also be aware of the Enemy's attacks and schemes and better able to take avoiding action. Focus only on what the Enemy is up to, or what is happening in the world, and we will be in real danger.

That isn't to say we should be ignorant of current affairs, such as this, or fail to read the signs of the times - far from it - but [i]He[/i] has to be our main focus.

A passage from Isaiah keeps coming to mind recently, in all sorts of contexts. The situation at the time of Isaiah was that there [i]was[/i] a real threat (in this case two enemies making a league to attack Judah), but Isaiah was told to focus on the Lord and trust Him for protection:

Isaiah 8:[color=990000]9 ¶ Associate yourselves, O ye people, and ye shall be broken in pieces; and give ear, all ye of far countries: gird yourselves, and ye shall be broken in pieces; gird yourselves, and ye shall be broken in pieces.
10 Take counsel together, and it shall come to nought; speak the word, and it shall not stand: for God is with us.
11 [i][b]For the LORD spake thus to me with a strong hand, and instructed me that I should not walk in the way of this people[/b][/i], saying,
12 Say ye not, A confederacy, to all them to whom this people shall say, A confederacy; neither fear ye their fear, nor be afraid.
13 [i][b]Sanctify the LORD of hosts himself; and let him be your fear, and let him be your dread.
14 And he shall be for a sanctuary[/b][/i]... [/color]

I think you will see the relevance

in Him


 2008/2/4 18:33

Joined: 2003/6/3
Posts: 4807


Here is another attempt to stop what has happened due to greed and moral decay...

Paulson, U.S. Banks Forge Foreclosure-Freeze Deal (Update2)

By Alison Vekshin

Feb. 12 (Bloomberg) -- Bank of America Corp., Citigroup Inc. and four other U.S. lenders agreed with Treasury Secretary Henry Paulson to take new steps to help borrowers in danger of foreclosure stay in their homes.

Paulson and the banks offered a 30-day freeze on some foreclosures while loan modifications are considered. The Treasury chief, with Housing and Urban Development Secretary Alphonso Jackson, said today at a news conference in Washington that ``Project Lifeline'' would help stabilize communities disrupted by mortgage defaults.

``If someone is willing to make a call, to reach out, there's a chance they can save their home,'' Paulson said. ``As our economy works through this difficult period, we will look for additional opportunities to try to avoid preventable foreclosures.''

The program is designed to help a broad range of homeowners, not just subprime debtors who borrowed more than they could afford. Still, it won't help everyone, Paulson said. The U.S. housing correction ``is not over'' and ``the worst is just beginning'' for subprime borrowers who face higher interest rates in the next two years, he said.

In a statement, the banks said the program would start with a letter to homeowners more than 90 days delinquent on payments that lays out procedures for them to ``pause'' the foreclosure process. The homeowner has 10 days to respond to the notice and give additional financial information so the lender is able to weigh new payment options.

Loan Types

Subprime, Alt-A and prime borrowers are eligible, according to the plan. Subprime mortgages are made to borrowers with poor credit or high debt. Alt-A loans are for borrowers who want atypical terms, such as proof-of-income waivers or investment- property collateral, without sufficient compensating attributes, such as larger down payments.

JPMorgan Chase & Co., Wells Fargo & Co., Washington Mutual Inc. and Countrywide Financial Corp. will also participate in the plan. All six are members of Hope Now, the alliance of lenders, trade groups and counselors formed last year to head off a surge of foreclosures by identifying and working with borrowers struggling to meet higher payments.

The Treasury chief said the six banks account for half of the U.S. mortgage market, and called on other lenders to adopt the plan as well.

Rate Freeze

Paulson, who as recently as last month opposed a moratorium on foreclosures, wants lenders to go beyond earlier pledges to freeze subprime interest rates for five years. The deepest housing slump in a generation is threatening consumer spending and the job market, pushing the economy to the verge of a recession.

Jackson said the plan is a ``responsible, timely effort'' aimed at encouraging borrowers to come forward if they're having trouble making payments.

``In some parts of our nation, the foreclosure crisis is have a devastating impact on neighborhoods and communities,'' said Floyd Robinson, head of Bank of America's home-loan business. He stressed that ``homeowners can only take advantage of this program by taking action -- they must respond when they hear from us.''

Democratic Complaints

Paulson last week heard complaints from Democrats in Congress that the number of homeowners receiving relief so far has been insufficient. ``We are now in the midst of one of the most serious economic crises we have seen in recent years,'' Barney Frank, the Massachusetts Democrat who heads the House Financial Services Committee, said in Boston yesterday.

Federal Reserve officials project about 2 million homeowners face higher mortgage rates over the next two years as their loans reset higher. Economists at the Federal Deposit Insurance Corp. estimate foreclosures this year will be about 1 million more than average, a level that FDIC Chairman Sheila Bair has said ``is just too high.'' They average about 600,000 in a typical year.

``This is good, but we've seen this over and over again,'' said Kathleen Day, a spokeswoman for the Center for Responsible Lending in Washington. ``The fact that they keep having to roll out subsequent rescue plans every few weeks underscores that each plan is inadequate.''

House Prices

Declining house prices have made it harder for some borrowers to refinance as the value of their homes drops, sometimes to less than what they owe. Sales of existing homes fell the most in 25 years last year and values dropped for the first time since the Great Depression.

The accord among the six banks is the latest effort backed by the Bush administration to rescue troubled borrowers, and followed a week of talks between lenders and officials. In December, Paulson negotiated a deal that would freeze rates on some subprime loans for five years.

Democratic Senator Christopher Dodd of Connecticut, chairman of the Senate Banking Committee, is exploring the creation of a federal program to buy and restructure delinquent and near-delinquent loans ``to help many borrowers as quickly as possible.''

Asked about Dodd's proposal today, Paulson said ``no I don't see that.''

``That is modeled on a program that was put in place during the Depression,'' Paulson said. ``We have many institutions that are now in place that weren't there'' to help in the 1930s, while the unemployment rate is now 4.9 percent, compared with 25 percent back then, Paulson said.

(end of article)

Back in the 1970s is was okay for the common person to loose their job to oversea labor markets. Many promote the global economy and free market principles. Yet this time it is different...much different. Now we are supposedly saving the common person from losing their home. Yet, the real purpose is to save the banking system from imploding with worthless CDOs and other financial gimicks. No longer is the private sector saying to government "hands off." Now they are pleading for more intervention....

Just a thought about this fallen world...Jesus said that one can not have two masters...hatred would focus on mammon for the believer or hatred for God's kingdom for those who's master is mammon.

In Christ

Jeff Marshalek

 2008/2/12 14:58Profile

Promoting Genuine Biblical Revival.
Affiliate Disclosure | Privacy Policy