Issa Votes ‘No' On $25 Billion Taxpayer Bailout Of Mortgage Lenders

Press Release

Rep. Darrell Issa, today, made the following statement about his vote against H.R. 3221, legislation bailing out mortgage lenders:

"I strongly oppose this taxpayer-funded bailout of the mortgage industry. This bill rewards Fannie Mae, Freddie Mac, and other firms that played key roles in the housing crisis. It will be paid for on the backs of millions of American taxpayers who pay their mortgages on-time, rent their residences, and played no role in creating this financial boondoggle.

"In our free market system, when companies make risky business decisions they keep the profits when their judgment is right and they are expected to accept responsibility when they make poor business decisions. I voted no, today, because it's wrong to have a massive taxpayer funded bailout of the lending industry that leaves stockholders fully intact and taxpayers empty-handed.

"I recognize that both Fannie Mae and Freddie Mac have become cornerstones of our housing market and also see a legitimate need to help Americans, who have played by the rules and find themselves in need of temporary assistance, keep their home. My first and foremost concern in this housing crisis is protecting a system that provides the long-term availability and affordability of mortgage loans to Americans. By bailing out lenders who made bad business decisions, we're setting a very bad and expensive precedent that will encourage future risky lending schemes, undermine confidence in future home loans, and make credit less affordable. We can use market forces and give regulators better tools to regulate the mortgage industry without writing such a massive check."

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