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Warren Said to Pull Endorsement of Fannie Shareholder Bill

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Senator Elizabeth Warren is withdrawing her support for a Republican measure that had been on the fast track to bar the Treasury Department from selling Fannie Mae and Freddie Mac preferred shares, according to a person familiar with the matter.

Warren, who originally cosponsored an earlier version of the legislation, pulled her endorsement because revised language allows the entities’ guarantee fees to be used to cover government spending, said a person familiar with her thinking who asked not to be identified because the matter is private. Those fees, which Fannie Mae and Freddie Mac charge to lenders to protect against losses, could be passed down to low-income borrowers if they’re increased.