Foreclosure

Connecticut residents have no doubt felt the effects of the sluggish economy, and can easily relate to anyone else undergoing similar experiences. When it comes to political candidates, some Americans believe those elected should assist in efforts to halt foreclosures for their constituents and not be struggling with their own financial problems. For one political candidate, his quest for public office may be impacted by the fact that he is not exempt from the problems affecting millions of Americans.

Connecticut readers may be interested in learning that two members of Congress from Georgia have introduced legislation they say is designed to help some homeowners avoid foreclosure, while also costing the government nothing. The legislation revolves around the right of taxpayers to withdraw funds from their 401(k) retirement accounts for application toward mortgage indebtedness. The proposed law would allow 401(k) funds to be used for certain foreclosure expenses without exposing the individual to the 10 percent federal tax penalty for early withdrawal.