WASHINGTON - (AP) - Sen. Christopher Dodd says thereare many unanswered questions about the temporary federal takeoverof mortgage giants Fannie Mae and Freddie Mac.
Dodd, Chairman of the Senate Committee on Banking, Housing andUrban Affairs, says Americans deserve to know if this proposal will help keep mortgages affordable, stabilize the markets and protect taxpayer interests.
Dodd says in the coming days, he will invite the architects ofthis plan to come before the Banking Committee to provide membersof Congress and the public with more information.
The Treasury Department says it's prepared to put up as much as$100 billion over time in each of the companies if need be to keepthem from going broke. In exchange, the government gets ownershipstakes and $2 billion of preferred stock, paying 10-percentinterest.
Together, Freddie Mac and Fannie Mae own or guarantee about halfthe nation's home loans.