Bankruptcy judge weighs in on bailout proposal listen

Tags: Economy, Wall Street

As Congress continued to work on a plan to bail out Wall Street, some Democrats have insisted that it makes no sense to spend billions of taxpayer dollars on toxic mortgages without also extending aid to households at risk of losing their homes.

To that end, they’ve inserted a plan to allow bankruptcy judges re-write mortgage-loan terms for struggling homeowners.

U.S. Bankruptcy Judge Catherine Peak McEwen in Tampa says the plan is intriguing.