How Obama Handled the Conflict-of-Interest Issue Trump Now Faces

[Miles Archer]

How Obama Handled the Conflict-of-Interest Issue Trump Now Faces

http://www.motherjones.com/politics/2016/12/how-obama-handled-conflict-of-interest-issue-trump-faces



"Well, not to get too personal, but our home back in Chicago—not the White House, which, as I said, that's a rental—our home back in Chicago, my mortgage interest rate, I would probably benefit from refinancing right now, I would save some money," Obama said. "When you're President, you have to be a little careful about these transactions, so we haven't refinanced."

Be careful—by that, Obama meant he did not want to get close to a conflict of interest by negotiating a deal with any bank. And that entailed a personal sacrifice.

Obama's mortgage, which he took out in 2005, carries a 5.62 percent interest rate—significantly higher than the current rates that are around 4 percent for a 30-year mortgage. In 2015, USA Today estimated that Obama could save almost $2,100 a month by refinancing. But though he was not prevented from taking advantage of the lower rates, he chose not to do so. He had learned his lesson. Years earlier, when he first entered office, his 5.62 percent mortgage was heavily scrutinized, with the question being whether he had received a below-market rate as an act of favoritism. A Federal Election Commission investigation determined that Obama had obtained a discounted rate but that it was legal because it was within the range offered by Obama's bank to customers who may provide the bank with additional business.

Before entering the White House, Obama sold his stock portfolio and invested all his personal assets in Treasury notes with some smaller investments in broadly held mutual funds. Once again, he was not compelled to do this by any law—federal conflict-of-interest laws and rules do not apply to the president—but he took this step to remove any taint of possible conflict.

[madaboutharry]

1. That is the difference

between a man of integrity and honor and a low life know nothing.

[Lotusflower70]

2. If he wouldn't have done that

The Republicans would have made an issue out of it. But President Obama is a man of ethics and integrity, no one had to tell him to do that.

[Hassin Bin Sober]

4. I remember shovel head Hannity making a big deal out of his "super jumbo" loan...

... as if it was some scandal because he received such a good rate.

I deal with his bank, Northern Trust, and they have great rates for big loans for their high net worth clients. They love loaning to customers who don't really need it.

[Salviati]

3. I hope that if we make it out of this mess with some semblance of a functioning country intact...

... that we codify some of the things that have heretofore only been tradition. Such as having presidental candidates release a decades worth of taxes, undergo a full physical at Walter Reed, and fully divest of all investments to be placed in a blind trust. If trump had known that he would HAVE to do all of those things, maybe he wouldn't have run in the first place.