{"id":430394,"date":"2010-03-14T03:37:28","date_gmt":"2010-03-14T06:37:28","guid":{"rendered":"http:\/\/www.davidicke.com\/headlines\/31603-us-taxpayers-on-hook-for-5-trillion-of-fannie-freddie-debt-"},"modified":"2010-03-14T03:37:28","modified_gmt":"2010-03-14T06:37:28","slug":"u-s-taxpayers-on-hook-for-5-trillion-of-fannie-freddie-debt-%e2%80%a6","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/430394","title":{"rendered":"U.S. Taxpayers on Hook for $5 Trillion of Fannie, Freddie Debt \u2026"},"content":{"rendered":"

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‘House Financial Services Chairman Barney Frank caused a bit of an uproar Friday when he suggested the U.S. government<\/a> does not guarantee the debts of Fannie Mae and Freddie Mac.<\/p>\n

Rep. Frank later recanted and backed a Treasury Department statement reassuring investors that, yes, Fannie and Freddie Mae debt<\/a> is guaranteed by the U.S. government<\/a>. “Going forward,” he said in a statement, we “will make sure that there are no implicit guarantees, hints, suggestions, or winks and nods…we will be explicit about what is and is not an obligation of the federal government<\/a>.”<\/p>\n

But after years of winks and nods, there’s no doubt that Fannie and Freddie now enjoy an explicit guarantee, according to most observers. The U.S. government<\/a> placed Fannie Mae and Freddie Mac in conservatorship in September 2008: “This means that the U.S. Taxpayer now stands behind $5 trillion of GSE debt<\/a>,” according to the Congressional Research Service.’<\/p>\n

Read more: U.S. Taxpayers on Hook for $5 Trillion of Fannie, Freddie Debt<\/a> …<\/a><\/p>\n

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