Locals: Congress must be wary on sub-prime bailout

LYNN – Compassion vies with caution when it comes to local residents endorsing the idea of using taxpayer dollars to bail homeowners out of the sub prime mortgage crisis.Arthur Horgan runs a bank that is not immersed in the crisis but has felt the repercussions from it.The nation is well into its second year of homeowners losing their properties to bank auctions after initially low mortgage rates escalated beyond the holder?s ability to pay.President Bush has proposed a sweeping financial regulation package and Congress is considering bail out proposals giving financial assistance to beleaguered owners.?Lot?s of problems are due to the panic mode we are in,” Horgan said, adding, “We have to be very careful how we spend that (taxpayers?) money. If we can, let?s help people who went into it mostly with the expectation of paying their mortgage off.”Lee Fonseca is not convinced bailing out homeowners makes sense.?Why should your money go to someone else? It can?t get any worse so it must get better. Let?s just wait it out,” she advised.Celeste Delaine and Mayra Garcia urged charity when it comes to keeping fellow Americans in their homes and helping them through tough financial times.?A lot of people need help. Everything?s so expensive,” Delaine said.Garcia acknowledges some people caught in the sub prime bind used poor financial judgment. She thinks other homeowners got hit with rising mortgage costs at the same time they lost a job or had a family emergency.She thinks helping someone stay in their home is an investment more than just a handout.?When you feel safe under your roof, everything is OK,” she said.