Federal takeover of Fannie Mae and Freddie Mac
So, you know how you have a piggy bank where you save your money? Well, Fannie Mae and Freddie Mac are like two really big piggy banks for grownups. They help people buy houses by lending them money. But, a long time ago, they made some mistakes and ran out of money.
To help fix this problem, the government decided to take them over. It's kind of like when your Mom and Dad take control of your piggy bank because you're spending too much money or not using it properly. The government wanted to make sure that people could still buy houses and that the banks lending the money to buy homes didn't go bankrupt.
So now, the government is in charge of Fannie and Freddie's piggy banks. They are trying to make them healthier and stronger so that they can continue to help people buy houses.
To help fix this problem, the government decided to take them over. It's kind of like when your Mom and Dad take control of your piggy bank because you're spending too much money or not using it properly. The government wanted to make sure that people could still buy houses and that the banks lending the money to buy homes didn't go bankrupt.
So now, the government is in charge of Fannie and Freddie's piggy banks. They are trying to make them healthier and stronger so that they can continue to help people buy houses.