Not yet airborne

The Congressional Oversight Panel is not happy with the Treasury's handling of the Home Affordable Modification Program (HAMP). Their primary concern is the almost glacial pace of making any significant impact on the foreclosure problem. In an interview with ABC, the Panel Chair contrasted HAMP and Tarp thusly, "When Wall Street had a problem, we managed to find solutions and find them very fast. We are not doing the same for the real economy and that's where the emphasis should be."

There are still 200,000+ homes entering foreclosure each month. The Panel feels that there are ten homes that will be lost for every home that will be "saved". "Saved" is a relative term as some of those who are in the program will, in fact, very likely, default when the five-year modification period ends.

The Panel is also concerned with the changing playing field that has arisen because of the Treasury's introduction of new programs. It's confusing plus it may induce lenders to wait for a better program.

Warren expands upon the report in this video.