Here's How to Help Boost the Economy

A lot of homeowners are struggling with their high mortgage payments on their fixed 30-year loan. Most of these are responsible homeowners who do all they can to keep the house and make payments on time. But to a divorce family, especially the dad's side, he's feeling the affect with his new family. Not only that he's less likely to be promoted due his disability, but he is working and doing what he can to keep his job too on top of his mortgage payments. His spouse does all she can to support him with the skills she has, along with caring for her kids, in bringing additional income, though now less than what they had.

This couple came a long way and had nothing but themselves. That means no inheritance or help from their parents. They worked hard and further their skills to find decent jobs to finally getting their own place, which their local bank said they can afford after having gone through all the necessary paperwork and pre-qualifications.

Little did they know about the housing market ahead of them that could potentially threaten them into a foreclosure. Due to job changes, job loss, and layoffs they had to break into using up all their savings and 401ks in order to keep their home.

The key to their successful home ownership is money management. Sure they have expenses on top of their monthly mortgage payment. These are child support, childcare, utilities for the home, fuel, food/grocery, pet costs, backyard farm cost, automobile maintenance, clothing, tracfones, and insurances. Even credit cards.

What they don't have: cable, other cell phones

They make sure all their expenses are paid on time to maintain good credits. They use coupons whenever they can on sale items. They buy clothes from second hand stores. Short term trips is all they can afford, usually just a weekend trip to visit the family or a camping trip with friends from work.

Because their mortgage is not owned by Fannie Mae or Freddie Mac and that their lender refusal to helping them out with modifying their loan they're stuck with an upside down mortgage, and the best way to deal with it is spending little and cutting costs. And when a family can only afford to do just that, they're not going to help boost the economy.

Why can't government see that it's the consumer who boosts the economy and not the financial industries. We're the consumers are the biggest spenders. Because the responsible homeowners are not helped, the money the government invested in to helping some irresponsible businesses and homeowners is just bad investment decisions. Have we just started seeing the affects?