September 18, 2007

Statement of Chairman Dodd in reaction to Secretary Paulson’s remarks yesterday

“Secretary Paulson’s comments in France about the wave of foreclosures that are expected to sweep through our country are disappointing, to put it mildly. More than two million Americans are in very real danger of losing the homes they have worked so hard to buy due to what Secretary Paulson himself has referred to as ‘bad lending practices.’ Those practices must end and this administration must act instead of continuing to sit on their hands and do nothing while thousands of Americans face foreclosure. In fact, tomorrow the Banking Committee will consider my proposal to modernize the FHA so homeowners facing foreclosure can find safe, affordable home loans. Instead of minimizing the magnitude of the problems facing home owners, I hope Secretary Paulson will join those of us who are working to strengthen our economy and preserve the American dream of homeownership.”