What if you owed the government or IRS even $46,000? Yet the government has collected and supposedly set aside $46 billion from tax money to stop foreclosures but isn’t using it for that!
If you owe the IRS money or even fail to file taxes they will harass your family, neighbors and employer and can even throw you in jail for years. Yet a recent audit and refusal by the Treasury Department to set goals for this money shows a complete lack of accountability or willingness to be held accountable according to a Bloomberg report.
Out of $46 billion set aside for TARP in 2009 only 10% has been used. Taking a look at how that money has been used is even more disturbing.
The Home Affordable Modification Program was assigned $3 billion. Only 10% has been used and that money has been getting paid to the banks.
Of the $7.6 billion designated for the hardest hit homeowners facing foreclosure only $351 million has been used to help a tiny 43,580 people.
One fund of $2.7 billion for reducing 2nd mortgage debt hasn’t been touched at all.
Of $8.1 billion for helping to refinance underwater owners $6.6 million was used for ‘administrative expenses’ and just 1,437 people have been helped out of how many millions of foreclosures? Does anyone else think this smells remotely similar to some recent bonus and extravagant Las Vegas convention scandals?
Then the really great news is that while at best this money sits idle and isn’t being used to help borrowers facing foreclosure or even boost the economy most of us will likely see our taxes going up this year.
Real help for homeowners certainly doesn’t seem to be coming from the government or banks and the sooner they stop promising and filling individuals with false hope and allow them to actually act to improve their situations or at least minimize them the better.
How about tax refunds from the idle $40 billion plus still sitting there to help people keep a roof over their heads?
