Rising depression. Suicide rates for the Mortgage crisis. No Help at all for middle class americans.

Towards our leaders & institutions; they are naive beyond belief. Although being used, abused & oh so confused by their so-called leaders, big media and this one-sided economic system; they keep on chuging along still wanting to believe in the american dream they are sold every minute, every day.

The real whiners are that 1% of happy few plutocrats and their 90% + of the whole shabang. They are the ones we are bailing out. They are the ones constantly lobbying & begging for more deregulation & tax cuts. They are the welfare corporations slaughtering US's middle class and making them feel guilty about it too…

There’s this big squeeze on the nation’s workers, wages have been flat, health and pension benefits are getting worse, at the same time corporate profits have gone up very, very nicely. Employee productivity has gone up 15, 20 percent, yet wages have been flat, plus companies are pressuring workers, you know, to work harder and harder.

And that’s part of a broader health crisis in the nation, where, since the year 2000, even though we’ve had pretty good economic times until the last few years under the Bush Administration, nine million more Americans are out of work than was the case in 2000. So now, almost 50 million Americans, nearly one-sixth of the workforce, is uninsured. And you think how crazy that is, in ways. You know, we’re the world’s wealthiest nation, yet one-in-six workers are out of work.

Wall Street is exerting much more pressure on corporations to maximize their share prices, as you know, which means maximize profits, which often translates into lowering costs and especially lowering payroll costs. So a lot of managers will say, you know, the area where they have most flexibility to reduce cost and increase profits is on payroll. So that’s why we’re seeing all these waves of downsizing and Suicide is becoming an increasingly popular response to debt.

For more than two decades, the couple had lived in their three-level house, where the elms outside blazed with yellow shades of fall and their four golden retrievers slept in the yard. The town had always been home, with a lazy river and rolling hills dotted by gnarled juniper trees.

Yet just before lunch on Oct. 23, the Donacas closed all their home's doors except the one to the garage and left their 1981 Cadillac Eldorado running. Toxic fumes filled the home. When sheriff's deputies arrived at about 1 p.m., they found the body of Raymond, 71, on the second floor along with three dead dogs. The body of Deanna, 69, was in an upstairs bedroom, close to another dead retriever.

"It is believed that the Donacas committed suicide after attempts to save their home following a foreclosure notice left them believing they had few options," the Crook County Sheriff's Office said in a report.

Their suicides were a tragic extreme, but the Donacas' case symbolizes how the housing crisis is wrenching the emotional lives of legions of homeowners. The escalating pace of foreclosures and rising fears among some homeowners about keeping up with their mortgages are creating a range of emotional problems, mental-health specialists say. Those include anxiety disorders, depression and addictive behaviors such as alcoholism and gambling. And, in a few cases, suicide.

Crisis hotlines are reporting a surge in calls from frantic homeowners. The American Psychological Association (APA) and other mental-health groups are publishing tips on how to handle the emotional stress triggered by the real estate meltdown. Psychologists say they're seeing more drinking, domestic violence and marital problems linked to mortgage concerns ? as well as children trying to cope with extreme anxiety when their families are forced to move.

"They're depressed, anxious. It's affected marriages, relationships," says Richard Chaifetz, CEO of ComPsych, a Chicago-based employee-assistance firm that is counseling homeowners over mortgage fears. "People tend to catastrophize, and that leads to depression. Suicide rates go up. We see an increase in drinking, outbursts at work, violence toward kids. Before, their houses were like ATMs," as they rose in value. "Now, they feel trapped.

Foreclosure filings surged 65% in April compared with the same month last year, according to a report Wednesday by RealtyTrac. One in every 519 households received a foreclosure filing last month, and the number of homes with foreclosure activity in April was the highest monthly total since RealtyTrac began issuing the report in January 2005.

Don Donaca, Raymond's brother, says it's hard to understand the suicide, but he thinks the pending foreclosure led to their deaths.

"He got so deep in debt he couldn't figure out what else to do," says Don, 74, a retired sawmill worker in Prineville. "I guess a guy would have to walk a few miles in his shoes to understand."

Financial concerns at the top.

Many other homeowners are at risk of less-severe, but still significant, psychological distress: One in seven homeowners worry that they won't be able to make their mortgage payments on time over the next six months, according to an April Associated Press-AOL Money & Finance poll, and more than one-quarter fear their home will decline in value during the next two years.

ComPsych says financial concerns are now the top issue the firm's counselors are hearing in calls from clients. Calls about financial worries have surged 20% over last year; those related to mortgage problems have doubled.

"It's escalated to the No. 1 issue because of the housing crisis," Chaifetz says.

Half of Americans identify housing costs, such as rent or mortgage payments, as significant sources of stress, particularly on the East and West coasts, a 2007 survey by the APA says. Sixty-one percent in the West, and 55% in the East (compared with 47% in the Midwest and 43% in the South) reported housing costs as a very or somewhat significant source of stress.

"The problem affects the whole spectrum, not just people losing their homes," says LeslieBeth Wish, a psychologist and social worker in Sarasota, Fla. "The stress exacerbates what is already there. It brings to the surface problems that were often already there, like marital problems. There is so much blaming people for the situations they're in, and that adds to it."

One of Wish's patients was semiretired when she bought a home in 2005 in southwest Florida as an investment that she hoped to "flip," turning a profit. The woman now owes more than the house is worth and can't sell it.

Wish says her client has developed anxiety, dwelling on her financial situation from the time she wakes up to the time she goes to sleep. Other clients, Wish says, are reporting physical symptoms such as headaches and stomach pains stemming from anxiety over their mortgage situation.

ComPsych's counselors are hearing similar stories of the mental-health toll caused by the housing slump. At the request of USA TODAY, ComPsych's spokeswoman Jennifer Hudson queried counselors to come up with examples of the types of employees they're helping. One couple were going through a divorce, and the wife told ComPsych counselors that financial stress was the final trigger. They had maxed out their credit cards and were living off credit in hopes that they could keep their house. Another woman called because she suspected her husband was gambling again, apparently hoping to win big so they could repair their financial mess. She was afraid they were going to have to move in with her parents, ComPsych says.

For Gary Sweredoski of Myrtle Beach, S.C., the threat of losing his home to foreclosure has taken both a physical and an emotional toll. In 2007, Sweredoski, who had no health insurance, underwent triple bypass surgery and wound up with more than $300,000 in medical bills. Then Sweredoski, 60, a real estate broker, saw his business suffer as the housing market crashed.

Today, he and his wife, Irene, struggle to make the mortgage payment on the dream home they built in Myrtle Beach and are trying to stave off foreclosure. Like many other homeowners struggling with the financial consequences of the housing slump, Gary says the emotional pain can be severe.

Standing on his deck overlooking a lake where ducks swim and bobbing pontoon boats drift by, he says such circumstances "shatter your pride and become very humiliating, even though the circumstances are not of our making.

"The situation keeps you up at night, preventing you from getting the rest you need. A lot of the depression that I feel, I do in private," he says.

"It angers you. It frustrates you. It has a large bearing on your emotional state. When the thought of losing a home looms, you lose more than a building. You lose what you worked for so many years, all of the equity that you have accumulated over the years. It's humbling. It affects us deeply."

Rising depression, suicide rates

Historically, research shows, rates of depression and suicide tend to climb during times of economic tumult.

The sense of Hopelessness. The phenomenon and effects of the Mortgage crisis.

Many mental-health crisis and suicide hotlines are reporting a surge in calls from Americans feeling despair over financial losses.

It's unknown if the economic meltdown will lead to more suicides, says Lanny Berman, executive director of the Washington-based American Association of Suicidology. "Maybe the fact that so many are calling is a positive sign. They're seeking help."

Although suicides spiked during the Great Depression, they didn't increase in subsequent recessions, which lasted an average of 10 months, according to the suicidology group's website. The current recession is 13 months long and counting.

Concern centers on rising unemployment, Berman says, because the unemployed have two to four times the suicide rate of employed adults.

Also, there's a strong link between humiliating losses and committing suicide. "Losing your job, losing your home — these are such major losses," Berman says. Although the majority can cope, adults who already have mental health problems or lack supportive relationships are most vulnerable, he says.

Calls to the National Suicide Prevention Lifeline jumped 36% from 2007 to 2008, totaling 545,000 last year, says director John Draper. But callers were increasing before the economic collapse, and about half of the added calls in 2008 came from taking over a veterans' suicide line, Draper says.

He is worried because a lot of adults phoning a hotline with resources for those facing foreclosure (888-995-HOPE ) say they feel isolated, as if they're the only one facing this problem.

"This sense of aloneness is part of suicidal thinking," Draper says.

Among areas with suicide hotlines reporting increases in callers since the economy slid: Dallas; Pittsburgh; suburban San Francisco; Hyattsville, Md.; Georgia; Delaware; Detroit.

In Boston, more hotline callers with mental health problems mention job losses, evictions or fear that they'll lose their homes, says Roberta Hurtig, executive director at Samaritans Inc.

In Kalamazoo, Mich., and other locales, callers with mental illnesses such as bipolar disorder say loss of insurance and cutbacks in public health programs are preventing them from getting medications.

At the Gary, Ind., Crisis Center, suicidal callers with economic worries are increasing, and their depression is more severe, says Willie Perry, program coordinator for the hotline.

"There's more hopelessness. They don't see a way out," she says. "We try to help pull them up by the bootstraps, but the bootstraps are a lot lower than they used to be. The grim phenomenon is rearing its head: the suicide of homeowners who have lost their homes during the mortgage crisis is getting on the tip of the iceberg and nobody seems to care.


Police in Taunton, Mass., report today that Carlene Balderrama, 53, a wife and mother, shot herself to death Tuesday afternoon -- 90 minutes before her foreclosed home was scheduled to be sold at auction. Balderrama faxed a letter to her mortgage company at 2:30 p.m., saying that "By the time you foreclose on my house I'll be dead."

The mortgage company notified police, who found her body at 3:30 p.m. The auction had been scheduled to start at 5 p.m., when bidders showed up at the house and found it surrounded by police cruisers. But, unbeknownst to buyers and to Balderrama, the auction had been postponed by the time she grabbed her husband's high-powered rifle, [Police Chief]O'Berg said.".

This is a middle-class family, a husband working, the son is working," O'Berg said. But the housing crunch, he said, "is inflicting real pain on middle-class Americans

A little help but not enough. Streamline Modification Program.

Fannie Mae today said that the Streamlined Modification Program (SMP) announced by the Federal Housing Finance Agency (FHFA) in November is now available to Fannie Mae servicers and borrowers as an option to help prevent foreclosures. Fannie Mae on December 12, 2008, provided information and guidelines to its servicers regarding the implementation of the SMP.

The SMP is designed to be a streamlined process for modifying the loans of
a large number of borrowers who are delinquent in their mortgage payment and may be able to avoid a foreclosure through the program. As FHFA has indicated, SMP was intended to help set standards in the mortgage servicing industry for conducting loan modification programs on a large scale as a foreclosure prevention measure.

Fannie Mae has been working with FHFA and 27 lenders and servicers in the
HOPE NOW alliance to implement the SMP. Under the program, borrowers who meet
certain eligibility criteria and demonstrate financial hardship may be eligible for a loan modification that reduces their monthly principal and interest payment.
The streamlined process allows a borrower to sign a single document at the outset of the workout process that both establishes a new monthly payment during a three-month trial period, and sets forth the modification terms that will take effect if the borrower makes the new payments during the trial period. The program is available to borrowers who have missed at least three monthly payments on their existing mortgages.

"By bringing the collective efforts of FHFA, Treasury, HOPE NOW, Fannie
Mae, Freddie Mac and other mortgage industry participants together through the
SMP to confront the foreclosure challenge, we'll be able to help more families
across America stay in their homes," said Herb Allison, Fannie Mae president
and CEO. "Along with other recently announced initiatives by Fannie Mae to
reach and help financially troubled borrowers earlier, including our Early
Workout program, the SMP is a critical component of our company's foreclosure
prevention efforts. These efforts are helping more than 10,000 delinquent
borrowers every month get back on track."


Modification Options


Through the SMP, servicers may change the terms of a loan to reduce a
borrower's first lien monthly mortgage payment, including taxes, insurance and
homeowners association payments, to an amount equal to 38 percent of gross
monthly income. The changes in terms may include one or more of the following:

-- Adding the accrued interest, escrow advances and costs to the principal
balance of the loan, if allowed by state law;
-- Extending the length of the mortgage loan as appropriate;
-- Reducing the mortgage loan interest rate in increments of 0.125 percent
to an interest rate that is not less than 3 percent. If the new rate is
set below the market interest rate, after five years it will step up in
annual increments to either the original loan interest rate or the
market interest rate at the time of the modification, whichever is
lower;
-- Forbearing on a portion of the principal, which will require the
borrower to make a balloon payment when the loan matures, is paid off,
or is refinanced.


Eligibility


Highlights of the SMP's eligibility requirements communicated to servicers
include:

-- Conforming conventional and jumbo conforming mortgage loans originated
on or before January 1, 2008;
-- Borrowers who are at least three or more payments past due and are not
currently in bankruptcy;
-- Only one-unit, owner-occupied, primary residences; and
-- Current mark-to-market loan-to-value ratio of 90 percent or more.



Servicers will be sending modification solicitation letters beginning this
month to thousands of borrowers believed to be eligible for the program. It is
critical that eligible borrowers respond to these letters and reach out to
their servicers to determine if they can receive SMP assistance. Also,
borrowers who don't receive a letter are encouraged to contact their servicer
to see if they may be eligible for SMP help. Fannie Mae will be working with
servicers to monitor and improve implementation of the program as necessary.


Fannie Mae exists to expand affordable housing and bring global capital to
local communities in order to serve the U.S. housing market. Fannie Mae has a
federal charter and operates in America's secondary mortgage market to enhance
the liquidity of the mortgage market by providing funds to mortgage bankers
and other lenders so that they may lend to home buyers. In 2008, we mark our
70th year of service to America's housing market. Our job is to help those who
house America.

Nothing on this Bail out deal will protect you.

First, one must read the article written by Elliot Spitzer JUST before he was taken down by the powers that be. This article details how the Bush administration opened the doors for the mortgage industry to get into this crisis, knowing all along they could pilfer the taxpayers in the end to soak up any losses.Eliot Spitzer Feb 2008 article

Second, we must realize that this whole affair is simply a corporate restructuring. What corporation? The corporation that OWNS the Federal Reserve (it is NOT a US government agency or division). The Federal Reserve is owned by the wealthiest banks in the world, who also in turn own the largest insurance companies in the world, and so much more. Like in 1929, they are set to, and will execute, the US economy if they don't get their way. Haven't you heard the threats already? Think it's not true? What caused the great depression? A run on banks and the stock markets? But what caused that? What happened was the largest banks in the world called in all loans they could on Oct 29, 1929. As all callable loans had to be paid immediately, everyone and their brother had to sell stock, bonds and get their money from the banks to pay these loans, that were all being called in unreasonably on this day. And what did the Fed do? Nothing. It is/was the same people. These are the same people who brought us federal income tax, in the same act that formed the third incarnation of the Fed!Why would the Fed do this? Because for the third time in US history, a president (this time Herbert Hoover) was threatening to end the Federal Reserve. Andrew Jackson once said, when asked what was his greatest accomplishment in his two terms as President, "I killed the Bank." (referring to the second incarnation of the Federal Reserve). Under the US Constitution, only the treasury is allowed to print our money, and although they still print our coins, the Fed is who really controls the US currency, and remember, they are a PRIVATE corporation, whom you will be told no specifics about."Banking was conceived in iniquity and was born in sin. The bankers own the earth. Take it away from them, but leave them the power to create money, and with the flick of the pen they will create enough deposits to buy it back again. However, take it away from them, and all the great fortunes like mine will disappear and they ought to disappear, for this would be a happier and better world to live in. But, if you wish to remain the slaves of bankers and pay the cost of your own slavery, let them continue to create money.”Sir Josiah Stamp - Director of the Bank of England (appointed 1928)Reputed to be the 2nd wealthiest man in England at that time. So once you have looked at these facts, especially the article by and the efforts of Mr. Spitzer, you can see what this is really all about.Hope this helps some to understand.

The Biggest Robbery of the History of our Country.

This bailout's mission is to protect the obscene amount of wealth that has been accumulated in the last eight years. It's to protect the top shareholders who own and control corporate America. It's to make sure their yachts and mansions and "way of life" go uninterrupted while the rest of America suffers and struggles to pay the bills. Let the rich suffer for once. Let them pay for the bailout. We are spending 400 million dollars a day on the war in Iraq. Let them end the war immediately and save us all another half-trillion dollars.
It has everything to do with it. This so-called "collapse" was triggered by the massive defaulting and foreclosures going on with people's home mortgages. Do you know why so many Americans are losing their homes? To hear the Republicans describe it, it's because too many working class idiots were given mortgages that they really couldn't afford. Here's the truth: The number one cause of people declaring bankruptcy is because of medical bills, Medical Bills; unemployment, increase in gas, food, increase on taxes to paid outrageous Government salaries.

And yet, they are screeching about how the end is near! Panic! Recession! The Great Depression! Y2K! Bird flu! Invasion of Undocumented Immigrants! Killer bees! Salmonella, We must pass the bailout bill today!! The sky is falling! The sky is falling!!!!!!!.

Falling for whom? NOTHING in this "bailout" package will lower the price of the gas, the price of food, the Interest rate, you have to put in your car to get to work. NOTHING in this bill will protect you from losing your home. NOTHING in this bill will give you health insurance.

The Financial Crisis put me on the street against the Wall.

The Implicators on the Financial crisis putting me on the street against the wall. We should bring some justice and accountability for this mess?. As always said the current Government fiscal policies has been failed again. The Government knew about this issue years ago and they failed to act on behalf's on the Fundamental and Ethicals values for American Citizens following their stand on Denial Stage. Who really miss estimate the compassion, the Fundamental Values as Americans, Compassion, Ethics,

Central Banks Responsibility:

Functions of a central bank (not all functions are carried out by all banks):

Implementation of monetary policy
controls the nation's entire money supply( Which they are not such control in printing money)
The Government's banker and the bankers' bank ("Lender of Last Resort")
manages the country's foreign exchange and gold reserves and the Government's stock register;
Regulation and supervision of the banking industry: They were Sleeping all this time.
Setting the official interest rate - used to manage both inflation and the country's exchange rate - and ensuring that this rate takes effect via a variety of policy mechanisms and acting as a "bailout" lender of last resort to the banking sector during times of financial crisis (private banks often being integral to the national financial system). It may also have supervisory powers, to ensure that banks and other financial institutions do not behave recklessly or fraudulently. Acting too late
The primary motivation for creating the Federal Reserve System was to address banking panics. Other purposes are stated in the Federal Reserve Act, such as "to furnish an elastic currency, to afford means of rediscounting commercial paper, to establish a more effective supervision of banking in the United States, and for other purposes." Before the founding of the Federal Reserve, the United States underwent several financial crises. A particularly severe crisis in 1907 led Congress to enact the Federal Reserve Act in 1913. Today the Fed has broader responsibilities than only ensuring the stability of the financial system.

Federal Reserve Current System functions and responsibilities:
Be blind to a Nation crisis .
To address the problem of banking panics
To serve as the central bank for the United States
To strike a balance between private interests of banks and the centralized responsibility of government
To supervise and regulate banking institutions
To protect the credit rights of consumers
To manage the nation's money supply through monetary policy to achieve the sometimes conflicting goals of
maximum employment
stable prices
moderate long-term interest rates
To maintain the stability of the financial system and contain systemic risk in financial markets
To provide financial services to depository institutions, the U.S. government, and foreign official institutions, including playing a major role in operating the nation’s payments system
To facilitate the exchange of payments among regions
To respond to local liquidity needs
To strengthen U.S. standing in the world economy

Housing Crisis dragging thousands of Jobs.

Who is responsible and accountable for this mess? Thousands of people losing their jobs do to the Housing crisis and the saggy economy affecting all of us as Taxpayers. Just 2 years ago, real-estate agents and mortgage brokers were rolling in cash and living la Vida Loca. Now they've become job seekers and Homeless left high and dry in the housing bust.

In 2006, multiple buyers still lined up to bid on homes, 100% financing was practically a given, and prices kept rising, seemingly without limits.

Fast-forward to the present, when the subprime-mortgage fiasco has led to the demise of many big mortgage lenders and small banks. Thousands of jobs have been lost. Many real-estate agents who thrived during the boom years are now finding it difficult to make ends meet and are leaving the business or looking for additional work to supplement their incomes.

Many who lived the high life are now sucking wind.

"No one ever saw it coming," Nick Vasilakis says.

Vasilakis was forced out of the mortgage business barely four months after he had entered it. A casualty of a 7,000-employee layoff by American Home Mortgage in August 2007, he had been hired as a software quality engineer the previous April. At the time, the company was the 10th-largest mortgage retailer in the U.S. and appeared to be on a roll.

Vasilakis says that employees were "kept in the dark" about problems at American Home and that the company kept hiring even as a complete wipeout approached.

Days before the formal announcement of the end, Vasilakis and his Long Island co-workers were advised to start updating their résumés. Vasilakis recalls that one colleague hastily scheduled a colonoscopy before his medical benefits were terminated.

Vasilakis had just bought a house in the area and was preparing for his wedding the following month. It took him four months to find a new job, as a business analyst with Ipreo, a consulting business for investment banks in Manhattan.

More than a year later, the 177,000-square-foot Melville, N.Y., headquarters of American Home remains empty and for sale. The loss of more than 1,600 local employees continues to affect neighborhood businesses (at one point American Home was Long Island's sixth-largest employer).
Where these people are going to ending up? being Homeless? American Home Mortgages lays off more than 7,000 employees. When markets boom, jobs get created. When the housing market busts, they tend to go away.

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