Coronavirus / COVID-19 Stimulus / Economic Developments

Trump Stops Foreclosures, Restarts Consumer Cashflow – Reassures America

TrumpWe are not there yet, but we are getting there. Critics abound – as they will – but President Trump is working tirelessly to relieve stress for every American in the shadow of Covid-19.

Trump’s two most significant moves so far; beyond accelerating medical response, activating military assets, and expanding commercial liquidity – are offering immediate relief to homeowners by preventing foreclosures, and pioneering cash payments to families, preventing bankruptcies.

On foreclosures, Trump used his emergency executive powers to literally suspend – that is, to stop cold – all home foreclosures and evictions for the next 60 days.

On March 18th, at President Trump’s direction, the Department of Housing and Urban Development (HUD) “authorized the Federal Housing Administration (FHA) to implement an immediate foreclosure and eviction moratorium for single-family homeowners with FHA-insured mortgages for the next 60 days.”

As described by HUD, “these moratoriums are part of the continued effort by President Trump to address impacts to the financial well-being of America’s individuals, families, and businesses caused by … COVID-19.” This will be a major relief to many Americans.

The goal, as Secretary Ben Carson reaffirmed, was to “allow households who have an FHA-insured mortgage to meet the challenges of COVID-19 without fear of losing their homes,” “help steady markets,” and offer “peace of mind” to worried American homeowners.

That single act is highly consequential. Here is why. Roughly 64 percent of Americans own where they live. For most, a monthly mortgage payment represents 28 percent of their take-home pay. With layoffs occurring in larger numbers, many homeowners are affected.

Looking at all 50 states, home foreclosures begin in as little as one month after non-payment (i.e., Alabama), or long as ten months (i.e., Maine, Wisconsin, and New Jersey), with most commencing two or three months after non-payment. Accordingly, a two-month respite is huge.

Separately, the President is seeking direct cash payments to Americans, as large as $1000 per adult and $500 per child within three weeks, with the possibility of follow-on payments.

One may ask – why this swift executive action? Why payments directly to individuals and families, even as the President seeks to assure commercial credit, accelerate the medical response, and give businesses loans and other support?

The answer is simple. It is less political than humanitarian, and economic good sense. The President and White House team know individuals and families count more than statistics. People need peace of mind, food on the table, relief from unnecessary stress – in a crisis not of their making. If there were ever a sign of empathy for individuals and families, these acts are it.

Consumers are the first line of defense against sustained economic downturns. Moreover, restoring consumer confidence and spending is the only way you emerge from an economic shock or prolonged recession. It all comes down to the consumer.

The healthcare side of COVID-19 must be addressed vigorously, professionally, and civically. We are all part of the solution, a high purpose – not small. Businesses need reassurance, loans, waivers, forgiveness, and support to keep service, inventories, sales, and payrolls alive.

But the empirical truth is bigger – and hard to ignore. The entire purpose of our society – the sustaining force of a republic – is the individual. Moreover, the family unit is the centerpiece of stability, confidence, commerce, social norms, values, and our collective standard of living.

Trump knows this intuitively. He reacted swiftly to assuage public fears. He is assuring all that he is with us, knows our pain points, is working to protect individuals and families.

By encouraging and reinforcing Americans to help Americans, he is genuinely sidelining politics. That is the right thing. He is helping our nation – one person and family at a time – to persevere, take heart, sustain our way of life, overcome this invisible adversary, and again thrive.

Preventing foreclosures, and assuring consumers cashflow in crisis, is precisely what good leadership looks like. We are not over this – not yet. But we will get there. We are on our way to a new day – and these presidential efforts make clear that we are not alone.

If You Enjoy Articles Like This - Subscribe to the AMAC Daily Newsletter!

Sign Up Today
Read more articles by Robert B. Charles

96
Leave a Reply

58 Comment threads
38 Thread replies
1 Followers
 
Most reacted comment
Hottest comment thread
67 Comment authors
  Subscribe  
newest oldest most voted
Notify of
Patriot Will

President Trump can only do so much, but his so much is so much more than the average, sneaky, big-talking politician. President Trump has a gift for noticing the plight of everyday people when things get tough. He is a very complex man who takes his job and responsibilities very seriously. Honestly, in my 67 years, I have never seen a more caring Commander in Chief. It disturbs me greatly that the main stream media has abused President Trump, non stop, since he fairly came into office. It’s not only disgusting. It’s proof that the socialists and communists are cruel and unfair.

PaulE

Yes, President Trump and his administration are doing everything they can to get the country through this crisis created by China. All in spite of the relentless attacks from the MSM, the Democrats looking to leverage the crisis to advance their own agenda and the various useful idiots and Never Trumpers looking to undermine his actions all along the way. I shutter to think what this country would be going through right now under the leadership of any Democrat president. The borders would have remained open to keep China happy, we would have millions of people needlessly infected, a completely over-whelmed healthcare system in state of collapse and probably close to at least 100,000 already dead in this country. The contrast between the “business as usual” style professional politician, truly unequipped to handle anything much beyond giving pretty speeches and “looking presidential” (whatever the h*ll that means beyond being part… Read more »

Kristine Wright

Ten years ago, we had swine flu. The Democrats were in charge. Millions of Americans got this virus including me and my husband. I almost died. In fact, 17,000 Americans died of swine flu. The media praised Obama for such a good job. The media is out of control.
This new virus is going to be under control sooner than we think. Thanks to the Trump administration.

Robert F. Couture

HE IS A GOOD MAN REGARDLESS OF ALL THE SOCIALIST ,COMMUNISTIC BULLSHOOTERS CALLING THEMSELVES DEMOCRATS, MR. TRUMP CARES ABOUT HIS COUNTRY.

John Karkalis

Paul E was quicker than I was in putting my finger on the “send” key.
I echo Paul. Mr Trump is acting as a war time president should. We are at war. This time the enemy is not a soldier with an automatic, but a tiny lethal virus.
The President is offering relief where required ( although this remains a rapidly changing situation).
The President is also “Comforter-in-Chief”,keeping us informed, preventing panic and wild disinformation. The Liberal press is working hard at that, of course.
Do Bernie or Joe seriously think a Socialist oriented state could respond in a timely, flexible manner? If so perhaps they should take up residence in the utopia known as China.

Ruth

Great article! Trump 2020! I knew (in 2016) when he decided to run for POTUS that he was the right man for the Presidency.

Paul DAscenz

Bravo! Mr. President,
After 3 Years of Fighting with the Communist Democrats, you still keep the Nation Safe. God Bless President Trump! God Bless America!
God will Triumph over this Decease!
Stay Alert! Be Careful! America will Prevail!

Enola G Crayton

This is why I love this man. No matter what people say he has our best interest at heart. They jumped on this quickly so we pray that this virus is nipped quickly (if people will use common sense).

Alexander Carestio

God bless our President for all he is doing for all Americans.But the frigging DUMBACRATS will never give him credit or the respect he deserves

George

HUMMMMM…Yet The DemonRat Governor of Mexifornia today is demanding all it’s citizens to stay home just short of Martial Law..,, DemonRat Mayor of NYC wants Martial Law as the .DemonRAT Illinois mayor, & DemonRAT’s St.Louis Mayor .. All DemonRats, all wanting to violate the Constitution. How Nice.

Cliff

Thank You President Trump and your team, the USA needs an administration like yours to keep us safe during this trying time…. TRUMP 4 MORE YEARS

Margaret Monello

God bless President Trump and God Bless America

Marion Sriuba

Already am a Amac member and am happy to be a part of this organization, Thank you for your insightful thoughts.

Ed LaPinskas

Our greatest POTUS will guide us out of this quickly. Count on it. 3 reasons to again vote for Trump:
Not a lawyer
Not a career politician
Not a DC swamp insider

He donates his entire salary to charity. Did Barak Ebola ever do that ? Has Joke Biden EV ER done that ?

Stephen Russell

Wuhan Virus issues more:
Impact ages 20-44
& those with A type blood High risk & O types: lower risk
Blame China for virus
Day 1
& now China shows it can stop virus & then blames US Army for virus
BS
China could have acted from Nov-Jan & wed not be in this mess or reduced mess then alas Our Media aiding China

Irv C

President Trumps actions prove his is a leader among the World. He IS our President and I am thankful. The DemoncRATS would have ordered 100,000s if body bags but nit President Trump. Kudos! Trump 2020 & why not 2024?

Sherry

You rock!!! Mr. President Trump. You have downed the Democrats on every scheme they throw at you. You care for the American people, and you have proved it.
Thank You! So many of us trust in you.

Richard F W

In addition to stopping foreclosures, the administration also stopped all evictions. I am a small business owner in the residential rental market. I have put my life savings into real estate rentals. This is my future and my retirement. I have loans and expenses to pay. Some tenants, the unscrupulous but not all, are using this to stop making rental payments. And, even for those those tenants that legitimately fall on hard times, what right does the government have to take money out of my pocket to give to someone else. I fully support helping them with public funds. I do my own case by case help as I can if they are good tenants. But, this is placing the entire burden of this political pandering on the shoulders of landlords like me. If I don’t make my payments, especially to lenders, I risk loosing my property, incurring late charges,… Read more »

Teeny Spillman

How does a young family find out how to be included in this ? A young family in Virginia is very much in need.

john sylvester nunan

GOOD…………..