TARP Nearly Even

Promise not to tell anyone…the TARP program is nearly in the money:

The U.S. Department of Treasury on Wednesday said the government’s bank bailout program has recouped nearly everything it issued in loans two years ago.

The Troubled Asset Relief Program lent out about $245 billion and has received repayments of $243 billion with the latest repayment of $3.4 billion from Fifth Third Bank. The Cincinnati bank took $1.7 billion from existing capital and generated the other $1.7 billion by creating shares of stock to sell.

The TARP loan program is expected to ultimately yield a $20 billion profit to taxpayers, Treasury said in a release.

Including money provided to banks, automakers and AIG, as well as programs to improve lending and prevent foreclosure, the government provided $410 billion. About $274 billion has been received in repayments and income.

Posted by on February 3rd, 2011 at 7:31 am


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