why quicken loans? the home-loan experts at quicken loans fully understand the harp guidelines. we'll work with you to understand your specific circumstances and strive to find the financial solution that's best for you. after a few simple questions we'll see how much money you may be able to put back into your pocket, where it belongs. with harp, there's less paperwork and often no appraisal required. we'll work to get you closed and on the road to saving money in 30 days or less. it's just that simple. and for five years in a row, jd power has ranked quicken loans highest in the nation in customer satisfaction, and this year for the first time, they've also ranked us highest in the nation in mortgage servicing. don't wait to start saving. call quicken loans today for a mortgage experience that's engineered to amaze. >> announcer: right now, interest rates are low, which means it's a great time to purchase a new home or refinance your current mortgage. quicken loans has been an innovative mortgage lender for 30 years, and we've closed over 2 million home loans, helping american

it back they pick up another loan?> yeah that tends to be the biggest hazard. it's that these loans are marketed as a two-week fix let's say you have some unforeseen emergency a car accident bills that are larger than anticipated well you go to a payday lending store and you take out a loan with the idea that it will be paid back in two weeks. however, these are people without don't always have so much money on hand and when that two-week period hits boom you have all these financing fees that are added in and many people kind themselves in a position where the only way they can pay back that loan and still pay for food and other daily news is to take out yet another payday loan. >> so what is the bureau going to do or want to do to try to prevent this from happening? >> well they're going after this-- in a couple different ways. and it does get complicated but i think the key thing the pillar in this whole strategy is a cap that will come after the third loan. so let's say you take out a loan, renew it twice now a pay

off the initial loan. "america tonight"s sara hoy on the debt trap. >> reporter: if you could explain to me how much were you in the hole? >> 28 2800. >> reporter: like so many americans struggling with debt for gloria warner a native of jackson,mississippi, trouble started with a single transaction. >> it started out what a call. i went to one pay day and had to get money, and had to go to another to keep up with the payment from the first. it was a cycle that kept going and going. >> reporter: how bad did it get for you? >> it got so bad i felt i was working for the pay day loan instead of paying bills. it was like i had to pay pay day loans then the bills. >> reporter: over the fours of four years she juggled eight different loans. >> i came in one day and looked at my check and i did all the pay day loans and after i did that i couldn't go buy groceries. >> what was left? >> $20. >> $20. >> $20. >> reporter: in several cities across mississippi, residents struggled to find goods and services including

the state is actually looking for this resolution to be part of the loan application process. it would go to the board of supervisors as well to have them approve that, that ordinance, then we would package these documents up and submit that to the state for them to consider our future loan application. >> thank you. that's a significant reduction. >> wonderful. >> so i just -- to further understand that a lilts bit -- that translates into two million per year for every hundred million financed? >> that's right. that's right. >> and the total is 800 million, approximately. >> the state has looked at our need. in particular we're talking to them about the sewer system improvement program and all of the future revenue bonds that we would have to issue for the waste water enterprise. in that light we've come up with a listing of projects that could qualify and so right now the estimate is a billion or maybe a little more than a billion dollars is potentially available, but this approval today and then the board of supervisors' approval would be the first steps for us to formally

place and they had to buy loans from people below the median income 50% or 56% of those loans had to be to people whose credit relationships were not particular good they began to reduce their underwriting standards and realized they were taking huge risks in doing so. by 1995 for example they were accepting mortgages with 3% down payments and by 2000 they were accepting mortgages with no down payment at all. i actually don't blame fannie mae and freddie mac so much mt book as i blame hud. fannie mae and freddie mac were implements. they were tools in the hands of congress and the administration both the clinton and the bush administration and it was hud that was -- the department of housing -- >> which is a cabinet agency. >> housing development was bringing through the mandate and being tough because there was a lot of very good political use in there for the administration to say we have serving. and in the case of the bush administration, yes, he wanted. bush was favorable to the idea of home ownership. and in his memoirs bush said he was delighted with low income people able to

student loan debt -- student loan debt stays with you forever. we have to have alternatives. alternatives. and in no space i talk about creating alternative ways to credentialed people from the ability to pack package learning no matter where you acquired from a to come forward and say, here is who i am. i worked for ten years and these are the things i've done, studied these things online, taking these courses in this college in these courses in that college served in the military. someone should be able to package that experience and learning into the equivalent of a degree that the private sector recognizes. and they outline an alternative that i think would be especially beneficial to graduate students of the student investment plan which allows private sector investors to pay her college in exchange for a percentage of a percentage of your income, almost like an investment fund within a company. it is not for everyone but one more alternative to traditional student loan. i would be remiss if i i did not.out one more aspect of her book, the impact of societal breakdown th

loans the highest default rate of any kind of loans out there and this is -- this could be the point, elizabeth warren is smart for her point of view to tell the president this is your chance, you can stick it it to a publicly-traded company, you can stick it to everyone right now. >> but why would anybody think it's a good idea to take out $200,000 in debt and go study poetry? how are you going to pay it back? >> charlie's point with this touchy-feely -- >> i'm not talking about this, i'm talking about liberal arts universities into it's okay to bail out the banks, they turn around and gave themselves huge bonuses. okay to bail out -- >> and it's okay to walk away interest a home loan. >> they want to be -- and the reason why it's okay to walk away from a home some broker told you that you could -- >> i'm not justifying this but i'm thinking that ever since the bank bail outs and whether you justify them or not we have had a series of bailouts and rescues, handouts and refixes and i think that these kids are just reading these past examples, maybe experiences of their own parents an

by guaranteeing those loans and ensuring those loans and fannie mae was established in late 1938 1938, also part of the new deal to provide liquidity to banks when they made and marketed to get liquidity for that mortgage and make more mortgages. in inducing more home sales in the united states. that was the beginning. the government got much more involved in the 50s when they actually started adjusting the fha, the federal housing administration's standards in order to improve housing or increase the amount of housing in the united states and a desire to help the economy. that is when we got off the rails because once the government started using housing as a way to improve the economy in other words to improve the american people's view of their government and how successful it is then it became a political issue instead of what it had been before which was simply a question and making sure that the market function well. this. >> host: this stretches across democratic and republican administrations, the interest in housing and encouraging housing activity. where do you see the more

. >> issued loans in the oil sector face millions of dollars in pot losses. in a report published by "the wall street journal," big banks like citi or goldman sachs or ubs thought they could sell the loans to investors but haven't been able to due to the oil prices over the last few months. >>> the main focus was greece and precarious financial situation. julia chatterley reports from the eu summit. >> reporter: upcoming into the eu leader in brussels elects and germany's chancellor, angela merck l, could have a solution for gree repayment in salary bills at the end of this month and beyond. those who hoped were dealt a swift blow earlier on. angela merkel said there will be no solution. it comes down to the individual financial ministers to reach a deal. the second blow came in the form of reports suggesting the european central bank was going to become even more tough on the greek banks. a trigger for stressing the economy. we thought the reaction in the greek debt market yield significantly higher over the course of the session. both leaders have their han

over $100,000 in student loan debt to become a paralegal. how about that? federal and private loans. she's working a minimum wage job now as a bank teller. she tried to file for bankruptcy a couple years ago and you guessed it. student loan debt is not dischargeable in bankruptcy. dawn it's with you for your lifetime. it's one of the few debts that isn't dischargeable. dawn thompson thought her only option was to go back to school, and it turns out the only school that would accept her credits was everest the original school she went to. she thought maybe a masters degree from everest would make a difference. it did. her student loan debt went from $100,000 to $170,000. she is still struggling to find a job. how can we stand by and let this happen? how can the federal government recognize these as real schools? how can we allow students to be misled into believing these are real colleges and universities? how can we continue to give these outrageous scandalous subsidies to these worthless companies where the c.e.o.'s are taking out millions of dollars? it's

weaker loan. what you did in the book was to actually try to develop a broader measure. you referred to knopp traditional mortgages in here. table upon table of trying to tally the broader measures here, which is certainly different from what other people have done. walk us through why you decided to do those calculations, where those figures came from and when you came upon them and what their concludes were. >> guest: well, i used the term nontraditional mortgages because it was so much easier to refer in the back to ntms rather than each time talking bat subprime mortgage and a an alt-a mortgage. there are distinctions. a subprime mortgage is simple because it was defined by the bank regulators in 2001, and what they said is that any mortgage made to a person who has a credit score of less than 660 -- called a fico score. if your fico score is 660 or less, that is a subprime mortgage, no matter what else you might say about the mortgage. what kind of house it is how big the down payment was and

ap i had the to take out student loans. 90 rs% of the loans were federal loans. and there had to be a bridge twn the stupid loans and had to take out higher interest private loans. over $100 is what i have today and i never complained about it i knew it was an investment in my future and i worked every job to make it work and meet the tuition demands that i had every semester. i talk to young people across where i grew up and across our country and i realized this isn't something that just isn't affecting me. i play pay $400. it is something that is like an anchor. 41 million young people with over $1 trillion in student debt. weighs on every decision they have to make. when to start a family. being able to buy their first home. leaving the job they have to take a risk and start a business on their own. all of these decisions, the biggest factor today is that student debt and weighing an entire generation down and this congress must do. i'm glad to see to see my colleague from colorado, congressman polis and what you think and what you are hearing of how this wei

for student loans student refinance loans, as well as home equity loans.at we've created with truecar will merge together both the online buying experience that truecar provides with the ability to finance the car at home before you enter the dealership. >> am i always going to get the best deal? i can see the competition if we're at a period where we're in high interest rates. we're at very low interest rates right now. everybody is offering low interest rates. what is going to differentiate one lender from another in this aggravation that you're putting together? >> sure. when you think about the way we're approaching it it really is enabling local lenders to provide both truecar's very unique buying service that provides a guaranteed discount on the purchase of the vehicle with the opportunity for these customers to obtain financing directly from their local lenders. so these are really customers of an existing bank today who are very comfortable with their current lender and they want the opportunity to obtain a loan directly from them before they ente

student loans debt stays with you forever. it can't be discharged in bankruptcy.locks you out out of homeownership and ruined your credit so we have to have alternatives as well. in that space i talk about creating alternative ways to credentialed people including the ability to package learning to matter where you acquire where you acquire it from. ability to come forward and say here is who i am. i worked for 10 years in the private sector and these are the things i have done. i've studied these three or four things on line or on my own. i've taken these courses at this college and these courses at this college. i served in the military. someone should be able to package that experience and learning into the equivalent of a degree the private sector recognizes. by the way i outlined an alternative to the traditional student loan but i think would be beneficial to graduate students called the student investment plan which allows private sector investors to pay your college costs in exchange for percentage of your income over perry of time almost like an investmen

you can't repay a student loan.e're going to take your medical license away now. >> what has this country come to? borrow money, the day of i shake your hand i take something from you and going to pay it back. neil: what about joe's point get a collection agency? >> they don't take your license away for 270 days. neil: kids don't have money, what's a lien going to do then? >> don't take the money if you're not going to pay it back. >> you don't know that! >> you have nine months to figure out to make a deal and they won't suspend your license. neil: how is it different when we get tough on people who don't pay backtaxes. >> tell them they're going to go to jail if they don't pay it back. >> so debtor's prison that's next. if you can't repay a loan because you fall to hard times, there is bankruptcy court. >> if you don't pay child support, you go to jail. neil: you are never going to get this problem under control no enforcement mechanism. >> there are means to get them to pay, it garnishing of wages, liens. neil: y

people who want loans are getting loans.his recovery, it has to be led by small business if we turn this around. charles: the adp number, they created a lot more jobs than large businesses. the thing is, hitha, and you've been touching upon this, still when it comes to main street, the sort of euphoria resonating from the stock market, there's a complete disconnect. >> there's an absolute disconnect. people are hesitant to get back into the market. they were burned in the past. afraid to go in. you see numbers like this from adp, people aren't getting those jobs. they hesitate even more. your point on wall street, when they see these numbers, people aren't hiring as much. look at what happened with target. they announced they'll get rid of a thousand jobs. in the name of restructuring and making money for this company. charles: right. >> and wall street responded well with that. charles: steve, i want to bring you in here. to hitha's point, there's been this major biif you are indication of opinion with respect to main stree

than 10 $1 million lens. -- loans. that hurts smaller communities even more with reduced staffing levels in both epa and r.d. there's a emphasis for the larger loans which adversely affects small communities even more. the regionalization approaches where appropriate is important. but the only way those are going to happen is if you have people like the circuit riders and the technical assistance providers for rcap that are out working with those communities on a day in day out basis to work through those issues. one of the things rather quickly because my time's running out is you talk about tools. i'd like to give credit to epa for developing the variety of tools and working with rural development on tools. asset management tools, tools to look at sustainability for communities. again, tools are important to be developed for use by small communities but it takes someone in the field like a rural water or an rcap person to bring those tools out to these communities. maybe this could be handled in the questions. i know

interest-only loans.eren't products of fha or fannie mae and freddie mac -- john: the private sector knew they could produce garbage because the government would buy it. >> yeah, that's where fannie and freddie lost their way, because they used their portfolio to invest in those mortgages, and that's why they're in conservatorship today. john: ed, isn't it self-serving the say the government funds these loans? >> yes. i would like to get it down to zero, if possible. the problem is if you were to pull out away today -- pull it away today house prices would probably drop by 30 or 40%. so the solution in my mind is -- john: we're already addicted to government. >> we are very addicted. john: here's the current housing secretary, one of the guys that wouldn't talk to to us, at a press conference in d.c. celebrating easy credit. >> fha has long been a beacon of hope for underserved borrowers. this means expanding access to credit. i don't know john in other words -- john: in other words, easy money here, you

so these are not new problem loans. these are -- gerri: these are old problem loans.interesting. okay. i'm going to take off my hat as the advocate for people who are underwater and talk to you as a homeowner. both of you. what happens to me if the guy down the street gets a second mortgage forgiven? barry, to you? >> well, you can't just keep forgiving debt. that is unfortunately what we're seeing in society over the last three or four years, whether student loan debt, mother debt. gerri: amen, amen. >> there will be no funding mechanisms for people with good borers that want to pay an attractive price. gerri: rick, explain that a little bit. ultimately what kind of conclusions do lenders come to if they know that ultimately, if they make a loan to somebody they might be wiped away? >> so you think that ignoring 200 years of contract law is bad idea? gerri: i'm just suggesting. >> what happens inevitably in this case, we're going to see if there any loans available of this type. they will be much more expensive and they will only be available to the absolutely most q

and doesn'ts of college students refusing to pay back their student loans. why they say the debt should be forgiven entirely. >> he now says he wants the bill on his desk this week. he acknowledged it has a perception problem. jonathon has the latest from indianapolis. >> the top republican here holding a news conference this afternoon. again defending this bill that has caused so much controversy and concern but also admitting that the language in the bill this religious freedom restoration act does need to be clarified to make it crystal clear that it does not allow businesses to refuse service to anyone. repeating his point that this bill does not allow discrimination, but he admitted there's been a perception problem and that the bill needs to be changed. >> the religious freedom restoration act, was about religious liberty. not about discrimination. as i said last week, had this law been about legalizing discrimination, i would have vetoed it. >> this law does not give anyone a license to discriminate. the religious freedom restoration act, does not all

we're not going to pay back these loans. and we understand the consequences. >> reporter: vazquez is one of the corinthian 15, former students from across the country all taking a stand and demanding their student loans be forgiven. susan martin dale of the consumers' union says while not paying a federal loan can have serious consequences, they don't have many options so they're taking it to the top. >> the department of education is the steward of all the taxpayer money in the form of grants and federal student loans. they're also the ones with authority to discharge those loans. they own the loans. >> there is fraud happening here and it's not being acknowledged. >> reporter: the students argue while one arm of the government sues corinthian for predatory loans, the other arm is propping it up and requiring students to pay back those loans. >> they sold me a dream and it's turned in to a huge nightmare. >> reporter: a nightmare she says that's left her life in limbo. >> organizers say the department is growing and the dep

to make loans gather loans world bank and pay back the bank. they watch very carefully who they landed to. immediately sold and packaged and the lender did not care. the incentive to switch and that led to this crises. the republicans were in power, the democrats bought into this and did not regulate. mortgages were made and packaged into new financial derivatives. the main regular of dermain regular of derivatives is called the chronologies future trading commission. then financial commodities came in. during the time when these laws were being made the knew democrats gave them terrible loans and protected fannie mae and freddie mac. by 1994 democrats worried about those loans telling the federal reserve to regulate them. that is an interference in the market. we tried on several occasions the states passed laws to regulate predatory lending. the administration used federal power to preempt that. the state banks become national banks. in 2,004 democrats passed a bill to restrict subprime lending. when i became chairman in 2,007 i did not get a

the point being people pay pour loans. >> that means the bad loans, mike?icles in america. >> i see. >> is $900 billion. and the value of all vehicles on the road in america is probably something just over $2 trillion. as far as the term on loans, well i'm no fan of extremely long term loans. but you're only looking at part of the picture. the total financing picture as well. what we look at including leasing. the actual term loans have actually decreased from 57 months to 56 months when you include financing and leasing. >> but if you're just looking at a seven-year loan. is that a good idea for you, phil was just telling us it's something like an increase of 14%. just in seven-year loans. >> yeah -- what we tell our customers is if you're looking to get a lower payment, you'd be better off to lease, rather than sign up for a seven-year loan. because then you have the option to do something else in three or four or five years. >> right. >> and the finance company has taken the risk on the residual. now, when it comes to subprime. first of all, wells fargo

a check-cashing nextwave payday loan title -- next to a payday loan. it is not racism, it is targeted marketing. all we do that operation hope is robbed them of customers by moving credit scores 120 points. half of the jobs today require credit checks. 92% of jobs are private sector jobs, 8% or government -- our government -- are government. if you move a neighborhood credit score you have created customers for max. we are planning a hope in ferguson missouri -- ferguson, missouri . [applause] i want to thank regions bank for doing that. joseph, the ceo of one web bank. please let them know i gave him a shout out because he had something to say about this. but we have found that when we do this, we migrate credit scores, we are creating self-esteem and personal confidence, changing culture and creating sustainable customers for financial institutions and others and i think that has an effect that can change america and at the same time create a tax break for voters. ferguson. what is the most racially divided city in america? ferguson, missouri. 3% whi

before anyone takes out a loan for a degree before everyone can take out a loan for a degree you should be told, this is how much you can expect to make when you graduate. i i myself graduated with over a hundred thousand in student loans which i was only able to pay off after the publication of my 1st book which is now available in paperback something that i hold deeply personal and important. we cannot contingent to graduate people with degrees that do not lead to jobs. so we have to have alternatives as well, and in no space i talk about creating alternative ways to credentialed people. the ability to come forward and say, here is who i am. i have worked i have worked for ten years in the private sector, studied these three or four things online taken these taking these courses at this code in these courses at that college served in the military packets that experience and learning into the equivalent of a degree and also outline an alternative to traditional student loan call the student in the us will plan which investments to pay her college cost in exchange for a percentage of in

wall street had flooded our nation with risky loans, loans that they knew couldn't be paid back, loans with no underwriting standards or lax underwriting standards and companies would push these loans on consumers and then they would sell them upstream to other wall street companies such as bear stearns and lehman brothers and those companies would just be reckless and greedy enough to buy the loans, they're why they no longer exist. this nearly collapsed our economy. as a result, congress had to bail out wall street, the american taxpayer had to bail out wall street, one of the most massive spending packages this congress ever did. in order to stabilize wall street so our economy could recover. and then congress asked, what happened? and we brought in alan greenspan and alan greenspan testified to congress and said, i believe banks can regulate themselves, i was wrong. and he apologized to the american people. then congress said, never again. we're never going to let this happen again. we're going to create the consumer financial protection bureau so no longer will we have our nation

this is a company that goes after students when they are not paying their student loans. now they are going to own one of these for-profit colleges, what's left of corinthian p. we're told this new debt collection university will operate as a not-for-profit entity. that was enticing, and i thought, well, at least they're not in the for-profit world. despite being a not-for-profit entity in name at least, i am a troubled that ecmc is failing to live up to the promises they made to the students and me. here's an example. i wrote. cmc's -- ecmc's head in december asking him to dis-kin corinthian's use of mandatory ash strags clauses as part of the school's agreement. what are these closes? these clauses signed by students take away the rights of students to bring grievances before a court and once students end up in arbitration proceedings they find the rules stacked against them and in favor of the corporate repeat players. the associations represent not-for-profit schools and they've informed me that their member schools do not use the mandatory arbitration clauses. these

they look at all the loans in the fourth quarter and they basically extracted that the average auto loan28,381 a record high. the average monthly payment a new high at $482. the real growth has been in those loans with terms of at least six years in length. when you look at all the auto loans in the fourth quarter and you break it down by term lengths, the only length that grew were those loans drawn for six to seven years in length. everything else dropped. that's because there's been a surge of people saying, yeah, i want to spread out my payments even longer. the reason why? because the loans in terms of how much they're borrowing continue to grow. go back to 2008. it was $24,444. since then it's been going up anywhere between 2% to 3% every year. most recent number 28381$28,381. that's the growth in terms of auto loans. part of what's driving it higher is the fact that suvs and trucks are in demand. they're higher priced than smaller vehicles that were popular back in 2008 and 2009. in fact, truck sales this year up 15.2%. compare that with the market overall which i think, guys is u

they have a loan a student loan you know anything about loans, those loans can't be renegotiated. you can renegotiate on your house or you can renegotiate on anything else but not a student loan. so when a student at his mother and -- and his mother and father, or her mother and father, sign up far loan and put their house in the teal and put their future and their 401k and everything behind that kid's education, they are stuck with that loan rate. you've got people in this country who are paying 6%, 8% 9% as high as 13% on loans. and they can't renegotiate them. is that fair? is that the future you want? to stick the kids in this country with those kinds of loans? in my view, this budget has no humanity and no view of the future for our kids. i urge you to vote no. the chair: the gentleman's time has expired. the gentleman from georgia. mr. price: i'm pleased to yield three minutes to the gentleman from michigan, mr. moolenaar. the speaker pro tempore: the gentleman is recognized for three minutes. mr. moolenaar: thank you mr. speaker. the federal government has a spending proble

to make loans gather loans world bank and pay back the bank. they watch very carefully who they landed to. immediately sold and packaged and the lender did not care. the incentive to switch and that led to this crises. the republicans were in power, the democrats bought into this and did not regulate. mortgages were made and packaged into new financial derivatives. the main regular of dermain regular of derivatives is called the chronologies future trading commission. then financial commodities came in. during the time when these laws were being made the knew democrats gave them terrible loans and protected fannie mae and freddie mac. by 1994 democrats worried about those loans telling the federal reserve to regulate them. that is an interference in the market. we tried on several occasions the states passed laws to regulate predatory lending. the administration used federal power to preempt that. the state banks become national banks. in 2,004 democrats passed a bill to restrict subprime lending. when i became chairman in 2,007 i did not get a

when they make those loans in the first place. so we think that that would be a great benefit to our consumers. >> thank you. thank you mr. chairman. >> senator warner? >> thank you, mr. chairman. i think we all share common beliefs here that community banks are critically important. they play an outsized role in loaning for small business. one of the things the chairman mentioned in his opening comments, you know costs have gone up north of 90%. i find, though when i press my community bankers to specifically enumerate where those costs come from and document, i get not a lot of specificity. i guess, would you forever, for all of you very briefly i have one other follow up. would you estimate could you give an estimate of how much compliance costs have gob up since dodd frank for community banks? and is there kind of an enum racial of top three things that you hear as you go around the country? >> we attempted an empirical study in 2012. and the difficulty in doing that is institutions are not maintaining the kind of information

who take out student loans. one, it would create a fixed repayment program similar to current law's ten-year standard repayment. two, it would create a new simplified income-driven repayment program that consolidates numerous income-based programs into one. as we know today students that go to college have to take out a number of different loans and it's confusing in the system to know exactly what that repayment system looks like, especially for somebody who's trying to determine their job opportunities and the income that they need to meet their debt this allows that consolidation and simplification so students understand exactly what their exposure is almost from the beginning. students would be left with a very simple set of choices upon graduation. do i choose a fixed payment plan that will pay off my loans in straight ten years or do i take a simplified income-driven repayment plan and pay a little longer and have the remaining loan balance forgiven after 20 or 25 years depending upon whether it's undergra

quicken loans is definitely engineered to amaze. they were just really there for us. . >>> all right. it's time now to jump start your weekend. a lot of us will be glued to the couch beginning at noon today. >> but if that's not your thing, we have you covered. mr. jack rico the editor editor-in-chief of weekend jumpstart.com. willie said march madness. is there a major story line.

president obama today pushing a new plan to ease student loan debt.ow among the proposals, the ability to discharge student loan debt in bankruptcy. up until now that debt had to be paid back. the move comes on the heels of a new report which shows many people in this country are getting in over their heads again with all sorts of debt, not just student loans. with us now, to examine those implications, moody's chief economist john lonski, "national review" editor-in-chief, rich lowery. welcome to you both. bang up panel for this conversation. john, i want to start with you. president is bushing student bill of rights. i have to tell you, this sounds like debt forgiveness to me? >> sounds like a bailout. the sad story you have a lot of relatively poor people get even poorer going ahead and borrowing money to fund an education that is essentially worthless. it is not providing them with a job. gerri: rich this is what i hear from people all over the country, with our email, you name it. why should we pay for another bailout? why should we subsidize ano

interest only loans.se weren't products with fha orphan knee may and-- fan menie mae and freddie mac. >> they lost their way because they used the portfolio to invest in mortgages. >> it is self serving saying government has to fund these loans? >> i would like to see as little government as possible get down to 0 if possible. the problem is, if you were to pull it away today house prices would probably drop by 30 or 40 percent. the solution in my mind is. >> we are already addicted to government. >> here's the current housing secretary one of the guys who talked with us at a press conference in dc celebrating easy credit. >> fha has been a beacon of hope for under served borrowers. this means expanding access to credit. >> in other words, easy money here, you know, just here. tax payer go keep it. am i being unfair here? >> yes, you are being unfair. it is notten or nothing. we need them to finances $1 trillion in mortgage capitol. the banking system doesn't have the capitol under the current restrains o