Geithner Unveils New Bank Bailout Plan
Treasury Secretary Timothy Geithner today (Feb. 10) said the new administration will wage an aggressive two-front battle against the worst financial crisis in seven decades, while the Federal Reserve expands a key lending program to up to $1 trillion. The efforts are part of the government’s major overhaul of the widely criticized financial rescue program, according to the Associated Press.
The Fed says it will expand the size of a key lending program to as much as $1 trillion from $200 billion. The program, which has yet to begin operations, is designed to boost resources for consumer credit and small business loans.
The Fed says the program also is being expanded to cover the troubled commercial real estate market and certain residential mortgages.