"There are almost 10,000 foreclosures a day now...."

Crisis spreads as bailout focus on House | Reuters

"There are almost 10,000 foreclosures a day now, and between 1 and 2 million adjustable rate mortgages are due to adjust upward in the next year," said Timothy Canova, a monetary policy expert at Chapman University School of Law. "Without help for the bottom of the pyramid, Wall Street will be back next year asking for another trillion dollars.

AFTER THE UNCERTAINTY: MORE UNCERTAINTY

The bailout plan, equivalent to some $2,300 per American, is intended to reinvigorate credit markets that have frozen as financial institutions, staggered by failed mortgages, focused on preserving capital.

A group of House Republicans led opposition to the bill on Monday over criticism it put the government at the center of a problem that capital markets had created and could still fix.

Many Americans also opposed the $700 billion rescue plan because of objections across the political divide, including criticism that it would bail out powerful bankers without doing enough to help families struggling to hang on to their homes.

The Senate added tax cuts for families and businesses and an increase in bank deposit insurance in a bid to win broader support for the bill. Monday's House vote was 228-205, requiring a net gain of 12 votes for it to pass.

Rep. Steny Hoyer, the House Democratic leader, said calls from voters to representatives had been running 6-1 against the bill before Monday's failed vote but were now closer to 3-1 against.

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