Washington Debates Loan Modification ProposalsBy
Is the grand plan by FDIC Chairman Shelia Barr in trouble? Bair has been promoting a plan to use $50 billion of the Treasury’s $700 billion bailout funds to guarantee that home loans renegotiated by banks get repaid. Her proposal is modeled after FDIC efforts to quickly restructure troubled loans at IndyMac, the failed thrift that regulators seized in July. But it’s been nearly a week since the plan was first floated , and a story in the Wall Street Journal today suggests the plan has run into opposition in the White House.
To continue reading this article you must be a Bloomberg Professional Service Subscriber.
If you believe that you may have received this message in error please let us know.