Vito Fossella loses debate to constituent
It is nice to see Vito Fossella getting smacked around by his own constituents;
I read Rep. Vito Fossella's letter [Feb. 13: "Public isn't served when elected officials mischaracterize each other's legislation"] in which he responded to Sen. Diane Savino about his proposed bill to allow people to tap into their IRA accounts to pay their subrpime debts.
His response just proves how out of touch Mr. Fossella is with his constituents and reality. Mr. Fossella, what makes you think those who have subprime loans have any retirement fund at all, let alone enough money in it to help them pay off their mortgage?
Secondly, your solution to take money out of their retirement fund (if any) would make matters worst in the end. Jim Dau of AARP warned that "homeowners at risk should understand that tapping into retirement savings compounds into a bigger loss."
What Mr. Fossella also fails to mention is that he voted against a real piece of legislation, H.R. 3915, which would have required the disclosure of an estimated interest rate (APR) and the maximum it can adjust to, the total estimated monthly payment and what percentage it is of a borrower's monthly income. These measures would make it very clear to the borrower about their projected expenses. However, Mr. Fossella voted against this bill.