Americans for Prosperity Leads Coalition Effort Against Taxpayer-Funded Sub-prime Mortgage Bailout

October 26, 2007

WASHINGTON, Oct. 25 /PRNewswire-USNewswire/ — As Congress continues to debate the sub-prime mortgage issue, the free-market grassroots group Americans for Prosperity is leading a coalition representing millions of citizens to protect the best interests of taxpayers and homeowners.

The coalition this week kicked off its efforts by sending a letter to every Member of the U.S. Senate and House of Representatives urging them to follow free-market principles as they decide their course of action on the issue.

The letter asks elected officials to avoid a taxpayer-funded bailout that would encourage even more irresponsible risk-taking at even further taxpayer expense. Instead, the government can help those suffering by prosecuting fraud and clearing the way for lenders and borrowers to negotiate beneficial terms, the groups point out.

“Some borrowers chose risky loans and purchased houses they otherwise could not afford in the traditional mortgage market,” the letter to Congress states in part. “Others chose these loans as a wealth management tool and to help them achieve financial goals such as starting a business. People are free to speculate as to their future earnings and ability to repay mortgages as well as speculate on the future of housing prices. Government should not step in simply because some people took risks that didn't work out.”

A copy of the full letter can be viewed here: http://www.americansforprosperity.org/includes/filemanager/files/pdf/102307_af p_subprime_group_letter_house.pdf

Americans for Prosperity (AFP) is the nation's premier grassroots organization committed to advancing every individual's right to economic freedom and opportunity. AFP believes reducing the size and scope of government is the best safeguard to ensuring individual productivity and prosperity for all Americans. AFP educates and engages citizens in support of restraining state and federal government growth, and returning government to its constitutional limits. For more information, visit www.americansforprosperity.org

SOURCE Americans for Prosperity