What a week. To cap it off Friday, Uncle Sam played the part of Santa Claus, finally stepping in to give the country a solution to this mess we’ve gotten into. But is it the right solution? Does it mean more money in your pocket? Will Congress get its act together for long enough to pass the legislation? And what took our government so long to get here?
The unprecedented steps – including having the feds purchase a substantial amount of our bad mortgages, temporarily ending short-selling in financial stocks and guaranteeing money-market funds – sent the market soaring to end a stomach-churning week. Suddenly your nest egg is worth a lot more than it was a couple days ago.
But while the government may have given Wall Street a break, don’t count on getting your own bailout. You’ve got to stay more vigilant than ever to live within your means, avoid taking on too much debt, protect the equity in your home and keep building wealth for the future.
Carmen’s here to help. Along with our team of experts, she answered more of your questions on Friday’s Special Report. Below is a sampling:
Q: This government bailout sounds great for corporations plagued by their investments in toxic mortgages. But what is this going to mean for the homeowner who currently has an ARM scheduled to reset in the upcoming year?