Items Tagged with 'Bailout'

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Fitch: Trump tax cuts could force another Fannie Mae, Freddie Mac bailout

Corporate tax rate cut could lead to additional Treasury draw
Speaking before a meeting with airline executives, President Donald Trump said Thursday that his administration plans to unveil a tax reform plan in the coming weeks, with changes to corporate and personal taxes likely on the agenda. While those changes would likely be well received by corporate America, a new report from Fitch Ratings suggests that cutting corporate tax rates by as much as the president suggested could lead to Fannie Mae and Freddie Mac needing another bailout from the government.
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New York Times: Fannie Mae and Freddie Mac being 'held captive'

How involved was the white house in 2012 profit sweeps?
On Wednesday the court unsealed documents that proved just how involved the White House was in the Treasury’s decision to sweep the mortgage company’s profits. It seems that the administration may not have ever intended to release the companies back to the private sector.
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Fed's Kashkari: Time to end 'too big to fail'

Former overseer of TARP bailout suggests breaking up big banks
The fundamental shifts in the country’s economic policy in the wake of the economic crisis were not enough to prevent another catastrophic meltdown and more needs to be done to ensure that a future economic downturn doesn’t turn into another crisis, Neel Kashkari, the newly minted President of the Federal Reserve Bank of Minneapolis, said Tuesday.
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Fed adopts new rule limiting 'too big to fail' bailouts

New emergency lending policy targets 'broad-based' issues, not specific firms
Amid pressure from Congress to rein in its power to prop up a troubled financial institution, the Federal Reserve did just that Monday, adopting a new rule that will limit its ability to bail out failing financial institutions.
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Compass Point: Fannie Mae, Freddie Mac will need another bailout

It’s no longer a question of if. It's a question of when
The disappointing third quarter results for Fannie Mae and Freddie Mac have many already questioning whether the current financial status of the government-sponsored enterprises is stable. New analysis from Compass Point Research & Trading suggests that it’s no longer a question of if the GSEs will need another bailout. Now, it’s simply of a question of when.
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Fed proposes new bailout rules for biggest banks

Would be required to carry $120 billion in debt to reduce taxpayer burden
Eight of the country’s largest banks would be required to raise $120 billion to comply with a new rule proposed Friday by the Federal Reserve Board, with the money designated to recapitalize the bank should it fail, lessening the likelihood of a a government bailout.
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Hillary Clinton says she’d let big banks fail

Tells Stephen Colbert that as president, she wouldn’t bail out Wall Street
Over the last few months, Democratic presidential frontrunner Hillary Clinton has gone out of her way to position herself as a non-supporter of the country’s biggest banks, perhaps as part of a plan to woo those on the left who would rather see Senator Elizabeth Warren running in Clinton’s place. Clinton took it to another level in an appearance on "The Late Show with Stephen Colbert."
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Exec at center of first TARP bank failure gets 8 years in prison

Fraud scheme cost taxpayers more than $300 million
The bank executive at the center of one of the largest bank failures in recent years will spend the next 8 years in prison for his part in a scheme that cost the American taxpayers more than $300 million. Here's the tale of Ebrahim Shabudin and United Commercial Bank.
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