This is sort of surreal. I semi-agree with Bush and Co.

So, right now, The Philadelphia Unemployment Project is trying to organize Countrywide Home Loan borrowers to demand loan modifications such that their introductory interest rate becomes a fixed-rate through the life of the loan. That it's a modification as opposed to a refinance is important, because then the borrower doesn't have to get a bunch of new fees loaded onto them.

See, mortgage holders always have the option to modify loans to easier terms any time they want. They seldom do it, but these are exceptional circumstance.

In summary: LOAN MODS NOW!!!

Unbelievably, the Bush Administration seems to be recommending a much more conservative version of the same thing (which is still pretty good). It's being called a "teaser freezer." Basically, loan modifications such that the borrower gets another couple of years at the teaser-rate. Not ideal, but a lot better than a rash of foreclosures. The White House is even arguing for the teaser-freezer as something that will benefit investors (we agree, but we're surprised to hear them say it).

Find out more after the jump!