Last week, Federal Reserve Chairman Ben Bernanke said banks should consider writing-down principal on outstanding home loans to help slow foreclosures. The media is calling it “principal reduction”.
Every party has something to gain and lose with principal reduction. This is one reason why it may be a phrase forever remembered to 2008, much like “dot bomb” to 2001.
In some interviews, I am pretty interesting. In others, I am fairly dull. Put this one with the latter.