We, the undersigned, petition the Prime Minister to use tax payer funds to reduce personal mortgage debt to help solve the financial crisis and increase confidence and banks' liquidity. Read more | View/sign on official Number 10 website
Published: October 13, 2008 by Mortgages.co.uk - treating people fairly.
Number of signatories: 1555
This petition is also on the official Number 10 website. Sign it there, too.
The Government is using tax payer money to bail-out big business. By doing this, they are postponing an inevitable problem and further increasing the burden of debt on the people. Providing banks and lenders with the liquidity to lend more money is a sticking plaster solution that will only exacerbate deep-seated problems.
Mortgages.co.uk is petitioning the Government for an alternative. Politicians should use this money to buy a measure of mortgage debt off the lenders, in return taking an equity stake in qualifying properties. As well as providing liquidity to the banks, this give the consumer genuine and much-needed assistance.
Problems such as arrears, repossessions and negative equity disappear. This would bring stability and equilibrium back into the market. For lenders, liquidity would return business to normal, except maximum lending criteria are now fixed and irresponsible lending is history. Swapping homeowner debt for equity could provide medium-long term value for the Government and tax payers, and vastly decrease lender risk.
Mortgages.co.uk also call for a salary cap for senior banking executives to rebalance the market.
If you agree with this alternative rescue plan, please sign our petition.
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