The Common Sense Fix

We are at a crucial time in our country's financial history. Congress defeated the $700 billion bailout plan on Monday. However, they are revising it and trying to push it through again. I'm supporting an alternative plan that will keep our nation from going even deeper in debt, and I've been on TV and radio all week telling people about it. We need everyone's help! Follow the instructions below. Together we can change history.

1. Pray for them to resist a spirit of FEAR and to embrace WISDOM. Even if you don't like them or agree with them, pray for them and tell them you are praying for them. There is a spirit over this problem that must be broken. Also, most of the media personalities are afraid as well and that is affecting their reporting. Pray for fear to be removed from them; they are making this worse.

2. Send The Common Sense Fix to your Representatives and Senators and tell them how you expect them to vote, and that if they put this nation in $700 billion of debt, that you will vote them out. It's their job to listen to us! (Whichever presidential candidate or political party that champions this plan from their leadership down will likely become the next president. That is because this plan fixes the crisis while going along with the wishes of the vast majority of Americans.) First, read this blog. Next, copy the plan . Send it to your Senators and representatives by copying and pasting the text in whole. *Note: If their websites are down, that means we're making a difference! Keep refreshing the page until you get through. You can also go through Congress.org, though we don't endorse this site.

3. Forward this message to everyone in your address book and tell them to urgently follow these 3 steps TODAY. The more people we have supporting this and contacting their elected leaders, the more likely we can turn our economy around!

Now is the time to buckle down, quit pissing around and fix this economy. And YOU have your part to do. Please send this plan to those who hold your future in their hands because you have their futures in yours.

Years of bad decisions and stupid mistakes have created an economic nightmare in this country,but $700 billion in new debt is not the answer. As a tax-paying American citizen, I will not support any congressperson who votes to implement such a policy. Instead, I submit the following threestep Common Sense Plan.

1. I. INSURANCE
   a. Insure the subprime bonds/mortgages with an underlying FHA-type insurance. Government-insured and backed loans would have an instant market all over the world, creating immediate and needed liquidity.
   b. In order for a company to accept the government-backed insurance, they must do two things:
   
   1. Rewrite any mortgage that is more than three months delinquent to a 6% fixed-rate mortgage.
   
   
   a. Roll all back payments with no late fees or legal costs into the balance. This brings homeowners current and allows them a chance to keep their homes.
   b. Cancel all prepayment penalties to encourage refinancing or the sale of the property to pay off the bad loan. In the event of foreclosure or short sale, the borrower will not be held liablefor any deficit balance. FHA does this now, and that encourages mortgage companies to go the extra mile while working with the borrower—again limiting foreclosures and ruined lives.
   
   
   2. Cancel ALL golden parachutes of EXISTING and FUTURE CEOs and executive team members as long as the company holds these government-insured bonds/mortgages. This keeps underperforming executives from being paid when they don’t do their jobs.
   
   c. This backstop will cost less than $50 billion—a small fraction of the current proposal.
   


2. II. MARK TO MARKET
   a. Remove mark to market accounting rules for two years on only subprime Tier III bonds/mortgages. This keeps companies from being forced to artificially mark down bonds/mortgages below the value of the underlying mortgages and real estate.
   b. This move creates patience in the market and has an immediate stabilizing effect on failing and ailing banks—and it costs the taxpayer nothing.



3. III. CAPITAL GAINS TAX
   a. Remove the capital gains tax completely. Investors will flood the real estate and stock market in search of tax-free profits, creating tremendous—and immediate—liquidity in the markets. Again, this costs the taxpayer nothing.
   b. This move will be seen as a lightning rod politically because many will say it is helping the rich. The truth is the rich will benefit, but it will be their money that stimulates the economy. This will enable all Americans to have more stable jobs and retirement investments that go up instead of down.

This is not a time for envy, and it’s not a time for politics. It’s time for all of us, as Americans, to stand up, speak out, and fix this mess.

I hope you take the time to be heard.