In my post from May 5 I stated that private debt of banks, mortgage companies etc. will likely become socialized, i.e. will become that of taxpayers. This is the confirmation of this statement:http://www.connpost.com/localnews/ci_9199245
Federal Housing Administration will guarantee( if this bill becomes a law) $300 billion in highly risky mortgages, those that no private institution in the right state of mind would guarantee.