NPR logo Paycut, Yes? Bankruptcy Change, No?

Paycut, Yes? Bankruptcy Change, No?

The Hill is reporting that Senate Democrats and Treasury Secretary Paulson have agreed on the outline of a bailout bill.

Everyone won a bit and everyone lost a bit.

The Democrats get to cut the pay of bank executives. They get more oversight of the Treasury bailout and—good news for journalists—the bailout process is supposed to be more transparent.

And the U.S. gets to really get into the banking profession. The Treasury may receive ownership shares in the banks it bails out.

Paulson, reportedly, wouldn't budge on changes to bankruptcy law that would allow judges to rewrite the terms of mortgage contracts.

The story says this is all quite tentative and could collapse any minute. But, for now, a rough outline of a deal is on the table.

It says Congress hopes to hash it out over the weekend and vote by Sunday.