Committee hustles to complete refinance amendments

The U.S. Senate Banking Committee is trying to make a deal on amendments that would allow a bill focused on streamlining refinancings through the Home Affordable Refinance Program (HARP).

The bill proposed would help borrowers with Fannie Mae or Freddie Mac loans refinance their loans if they are current on their payments.

The concern is that while Republicans and Democrats on the panel have expressed support for the core function of the measure, some lawmakers have expressed an interest in moving forward on an overhaul of government-controlled mortgage giants Fannie Mae and Freddie Mac.

An amendment of that magnitude would likely derail the measure indefinitely, especially in an election year where budget, taxes and other expiring measures are expected to dominate the shrinking legislative landscape before the November elections.

In March 2011, Treasury Secretary Timothy Geithner called on Congress to overhaul Fannie and Freddie within two years but no progress has been made on that front.