Why was Freddie Mac assigned my new mortgage?

This year, to say the least, has been difficult, and during September I learned that in order to obtain a home loan I would have to prove that I didn't need the money. I paid off most of my debts. I liquidated assets in order in order to make a 30% down payment. The loan originator was Superior Bank. Superior Bank, after questioning every jot and tittle of my financial statements, assigned my mortgage to Wells Fargo, a total foreigner in these parts which bought out Wachovia in 2007, which had bought out SouthTrust earlier in the decade. I just received notice that Wells Fargo assigned my mortgage to Freddie Mac, which will retain Wells Fargo as its servicing agent. My payments go to Wells Fargo, but Freddie Mac owns the payments.

What is going on here? A bank recently seized by the FDIC originated my loan. Its people are aggressively trying to build business in Alabama. Superior Bank sells the mortage to a conglomerate which bought what was once an aggressive bank. Wells Fargo sells a perfectly good mortgage to a private corporation which pretends to be a government agency that regulates and enhances the mortgage industry. In reality, Freddie Mac was a very profitable corporation enjoying vast financial guarantees from its many friends in Washington, most notably, Chris Dodd, Barney Frank, and Newt Gingrich.

Why should you taxpayers be perhaps on the hook for my mortgage? Why should my mortgage be serviced by a conglomerate which gladly assigned it to Freddie Mac? Why would Freddie Mac want my mortgage except to appeal to Congress that its portfolio contains at least a few loans in which the borrower has more than a reasonable chance of paying it back? What does Wells Fargo get out of it? What does Freddie Mac get out of it?

I myself would like to think I am not enabling crony capitalists, but it seems that the mortgage industry has been taken over by the biggest players. I say: (1) abolish Fannie Mae and Freddie Mac; (2) prohibit the FDIC from insuring the deposits of any bank which has more than $100 billion in assets. "Too big to fail" means "to big not to be a nest of crony capitalists."

More on Mr. Gingrich and his $1.6 million in compensation from Freddie Mac here. I hope that Mr. Gingrich and Mitt Romney beat each other to a pulp in the next thirty days in order to make room for a candidate that is truly conservative, not a flip-flopper, and can control the right without being controlled by the right. I pray that the Republicans nominate a candidate who has the respect of conservatives yet can impress independents as a viable alternative to the Chicago way.