Fannie Mae Profit May Swell Treasury Coffers as Debt Limit Looms
This article is for subscribers only.
Fannie Mae and Freddie Mac may send the Treasury Department enough money in June to extend by a month government operations under the debt ceiling, giving Republicans and Democrats more time to hammer out solutions to the nation’s finances.
The government-controlled mortgage financiers, under revisions last year to their bailout agreements, turn almost all of their profits over to the Treasury. They each say they have considered reversing about $90 billion of writedowns of tax credits, which would boost the remittances.