Fannie Mae-No Politics (FNMA)

[Rodney5]

“Fannie Mae and Freddie Mac, more than anyone, were the engine we needed to get through the problem.” Former Treasury Secretary Paulson

Mr Howard, Quote:
Paulson overrode the strong objections of FHFA director Lockhart and agreed to allow Fannie Mae and Freddie Mac to reduce their surplus capital percentage with no firm commitment from either company to raise additional capital. This was significant on two levels—first as a clear example of Treasury’s dominance of FHFA, and second as a strong indication that Paulson at that early date already was thinking of Fannie Mae and Freddie Mac as instruments of the federal government. (Two years later, Paulson would tell the Financial Crisis Inquiry Commission, “[Fannie Mae and Freddie Mac], more than anyone, were the engine we needed to get through the problem.” [Emphasis added]) End of Quote


Link: : https://howardonmortgagefinance.com/2015/01/