Upon further review of our nation’s current foreclosure crisis, it is obvious that the most common causes are either an owed debt or job termination. To handle such a situation as this, a plan must be devised on a level that impacts all the US citizens the foreclosure crisis has affected. This means every affected person no matter their social class status should have the eligibility to be positively affected by the plan with no uneven distribution of solutions. To do this the plan must consist of a method that would offer jobs to those who have recently been terminated as well as a solution for those still employed but undergoing foreclosure. I propose that the government creates a program that is specifically designed to aide these people by offering them monthly aide in bailing them out of debt.
The amount offered monthly would depend on the amount the citizen owes. The government would take the amount the citizen owes and work out a payment plan to pay a percentage of it monthly to whomever the money is owed. The percentage the government pays monthly should be determined by the businesses that the money is owed to, however so that the price is fair it cannot exceed the minimum amount due towards the citizens mortgage each month as would be described if the citizen was on an installment plan. The reason it is done this way is so the government wouldn’t be overpaying but the businesses would be getting an amount that is deemed acceptable by their standards. The payment by the government is done monthly to decrease the amount of money the government would be loaning out at one time. The citizen would of course have to pay the remaining monthly balance but how they will be allowed to do so comes in to play a little later in my plan.
Though the government is on the giving end here, they are not left out of this plan. Being that the government will be helping the citizens by offering monthly financial assistance, they are also aiding the banks and businesses doing the foreclosing by getting them their money at a reasonable pace. The government can use this fact to their advantage. They could offer this plan to the businesses as a service for a percentage of the money they are receiving from each mortgage the businesses are collecting monthly. If the question arises why the businesses should invest in this plan the government should offer the reason that the businesses will in return have a guaranteed monthly payment coming in, no matter the circumstances. If accepted this would prevent the need for a businesses to seek foreclosure.
As stated above the citizen will in fact have to pay the remaining monthly balance but to do this my plan gives them an option. First I propose the government builds new office buildings in areas affected by foreclosure. The reason for the buildings would be to provide jobs that are exclusively for the people who have been laid off. The requirement for the job is to have been laid...