US Prez suggests ways to tackle subprime woes

US President Bush laid out ways for people to tackle subprime woes, as CNBC-TV18 reports.  

George W Bush, US President, said, “Foreclosures will have negative consequences for our economy. Lenders and investors will face enormous losses. So they have an interest in supporting mortgage counselling and working with home owners to prevent foreclosure."

 

Treasury Secretary Henry Paulson spoke soon after Bush voiced his support and outlined the plan for home owners going forward.

 

US Treasury Secretary Henry Paulson, said, “We all know that it is in everyone’s interest; home owners, servicers, investors to develop a market based approach to avoid foreclosures that are preventable. The current system for working out these problem loans will not be sufficient to handle the anticipated 1.8 million owner-occupied subprime mortgage resets that will occur in 2008 and 2009.”