Obama's Help for Families facing Foreclosure is Failing

(CBS) California today imposed a 90-day moratorium on foreclosures. The state has the nation's second-highest foreclosure rate.

The development is good news for those running into a stone wall at the bank despite the Obama administration's plan to help homeowners rewrite their mortgages. CBS News correspondent Bill Whitaker heard one family's story.

The De La Torre family had their American dream within their grasp: a house of their own and bright, beautiful children.

But when mom Angelica lost her housekeeping job and dad Angel's hours at a granite company were cut, the family could no longer afford their mortgage at 6.5 percent interest.

The family realized it was facing foreclosure - its dream slipping away.

"My dad always comes back stressed out. He's trying to do a lot of things right now so we can stay with the house," Angel De La Torre, Jr. said.

Losing their house to changing financial circumstances, the De La Torres are exactly the sort of Americans that President Barack Obama promised to help with his "Making Home Affordable" program.

But when Angel asked his bank to modify his loan, they told him he had to default on the loan to qualify. Not true. The program is made for homeowners like the De La Torres whose payments exceed 31 percent of their monthly income. The De La Torres' payments were already 54 percent of income. - CBS News Story

I don't necessarily agree with the program at all. If you can't afford the house you are in then you should find something that you can afford, not get a free ride to buy things you can not afford.

That being said, can you imagine if this was a Republican plan not working? The Democrats would be out screaming that the Republicans are only looking out for the rich. Well, is Obama only looking out for the rich?