TALLAHASSEE, FLORIDA — On Monday, Florida Chief Financial Officer (CFO) Jimmy Patronis joined State Financial Officers from 27 states in outrage over a new Federal Housing Finance Agency (FHFA) rule. The policy forces Americans with good credit scores to pay more each month for their mortgages – crediting the additional payments to the loans of higher-risk borrowers.
In a letter to President Biden, the states expressed deep concerns over the new rule. Financial officers said the practice by the FHFA of making substantive policy changes without utilizing the federal rulemaking process is inappropriate.
“Biden and the FHFA have finally lost their minds completely,” Florida’s CFO Jimmy Patronis said. “Their plan to redistribute mortgage fees from those with good credit to those with poor credit smells a lot like socialism and sounds like a way to hurl our economy into another housing crisis.”
ATTACKING HARD-WORKING AMERICANS
Patronis said these tactics are used to “attack middle-class and hard-working Americans who choose to play by the rules,” and he doesn’t want Floridians to go through a financial recession similar to the subprime mortgage meltdown.
“For decades, Americans have been told that they will be rewarded for saving their money and building a good credit score,” the letter reads. “This policy turns that time-tested principle upside down.”
The letter goes on to chastise the Biden administration for failing to implement policies that reduce inflation, cut energy costs and bring lower interest rates. Instead, the letter accuses Biden of launching a middle-class tax hike that will unfairly cost American families millions of dollars.
Read the full letter here.