The U.S. Treasury "sweeps" all the profits from the two mortgage giants, Fannie Mae and Freddie Mac

Since 2008, the mortgage giants Fannie Mae and Freddie Mac have been held to far more punishing standards than the big banks, opening the door to an attempted Wall Street takeover.

New York Times finance reporter Gretchen Morgenson drills deep into the paper and decision trail to shed fascinating new light into both the bail-out drivers, the turn to profitability, and the present-day risks for the nation's two mortgage giants. She writes:

From their September 2008 bailout until the present day, these government-sponsored enterprises, or G.S.E.s — which guarantee 80 percent of mortgages nationwide — have faced demands from their overseers that were far more draconian than anything asked of the big banks also rescued during the financial crisis.

Read more >