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Senate bill to end Fannie Mae, Freddie Mac would save $60 billion

Washington Examiner, By Joseph Lawler 

A bipartisan Senate bill to unwind the government-sponsored enterprises Fannie Mae and Freddie Mac would save the government nearly $60 billion over 10 years, according to Congress’ official budget scorekeeper.

The Congressional Budget Office on Friday released an estimate of a bill that cleared the Senate Banking Committee in May but has failed to gain traction in the upper chamber.

Originally authored by Sens. Bob Corker, R-Tenn., and Mark Warner, D-Va., the measure would phase out the two bailed-out mortgage businesses Fannie and Freddie and replace them with a system of private insurance for mortgage securities with a government backstop that would kick in after private investors suffered losses.

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