Economy Nov 17 TARP Watchdog: N.Y. Fed ‘Severely Limited’ Savings on AIG The Federal Reserve Bank of New York ceded much of its negotiating power to AIG's trading partners during the insurance giant's rescue last year, according to a new report from the watchdog for the Troubled Asset Relief Fund. By Carolyn O'Hara
Economy Aug 12 Where Are Toxic Assets Now? Question: TARP was originally proposed to deal with “toxic assets” to unclog the books of financial institutions and prevent them from becoming insolvent. The toxic assets to date have not been bought up, so…
Economy Apr 10 Why Doesn’t the Treasury Turn Over Banks to the FDIC for Inspection? Question: Why didn’t the U.S. Treasury turn over the banks to the FDIC and let the FDIC do an audit and dispose of the rotten assets? Paul Solman:…
Economy Apr 01 If a Bank Has Toxic Assets, Can Another Division of That Bank Invest in the Toxic Asset Program? Question: Is it possible for a division of the bank holding toxic assets to participate in the [toxic asset] program? Paul Solman: Supposedly not, but there’s lots of buzz about how banks might in practice get around the obstacle…
Mar 27 How Can Assets Be Toxic If They Were Insured? Question: Why does everyone avoid discussions about PMI (Personal Mortgage Insurance), which protects the lenders from loss and is required on all loans with less than 20 percent down (except VA & Federal Housing… Continue reading
Mar 26 Can Individual Investors Participate in the New Toxic Asset Plan? Question: Is there an opportunity for individual investors who are not super-rich to participate in the new Toxic Asset plan? Maybe something like a mutual fund, or the Treasury’s non-competitive bid process? Paul Solman: Supposedly yes. From an AP… Continue reading
Mar 23 The Toxic Asset Plan Explained By Business Desk After the Treasury Department released its plan today to rid banks of so-called “toxic assets” by enticing private investors to partner with the government, Paul Solman answered questions on the basics of the plan. What exactly are… Continue reading
Mar 23 New Program Aims to Entice Private Investors to Help Banks By Admin, PBS News Hour The Obama administration unveiled the latest program in its financial rescue plan Monday to draw private investors into a partnership with a new federal entity that could buy up troubled assets weighing down the nation's banks. Continue reading