Fact Check: Fannie and Freddie

October 7, 2008

Fact Check on McCain’s Response to Fannie and Freddie:

Tonight, John McCain said: “But we all know, my friends, until we stabilize home values in America, we are never going to start turning around and creating jobs and fixing our economy, and we have got to give some trust and confidence back to America. I know how to do that, my friends, and it is my proposal, it is not Senator Obama’s proposal, it is not President Bush’s proposal, but I know how to get America working again, restore our economy, and take care of working Americans. “

THE FACTS: John McCain is a "latecomer to the debate" over reforming Fannie and Freddie and he admitted that he did not anticipate the housing crisis.

Fact Check on Fannie and Freddie’s Influence:

Tonight Sen. McCain said, “One of the real catalysts, really the match that lit this fire was Fannie Mae and Freddie Mac. I’ll bet you may never even have heard of them before this crisis, but you know, they’re the ones that with the encouragement of Senator Obama and his cronies and his friends in Washington that went out and made all these risky loans, gave them to people that never could afford to pay back. [...] they were getting all kinds of money and campaign contributions. Senator Obama was the second highest recipient of Fannie Mae and Freddie Mac money in history, in history.

THE FACTS: Franklin Raines was not an advisor and Johnson advised the campaign for less than a month. McCain campaign manager’s firm was — as recently as a month ago — still being paid by Freddie Mac.

Learn the facts at therecord.barackobama.com/debate and check the facts at JohnMcCainRecord.com.

Fact Check: Fannie and Freddie