Q&A on the Bailoutby Tim Manni
Here’s a good (and short) question and answer piece on the recently-passed ‘bailout’ bill. Sample question:
Will tight lending ease and stabilize falling housing prices and the housing market? Will it ease consumer and commercial credit?
If the bailout succeeds, within weeks consumers likely will find it easier to get mortgages and other consumer loans. But lending standards – especially in relation to home loans – aren’t likely to loosen to levels that preceded the financial crisis. Lenders will continue to place added scrutiny on borrowers’ ability to repay, closely looking at credit scores and incomes. Down payments for all types of loans are increasingly important now and likely will remain so.
We’ll be seeing a lot of these in the days and weeks to come — this bill is that huge, not just in its 451-page size, but its impact on our economy.