The government is changing the terms of its bailout agreement with Fannie Mae and Freddie Mac to shrink the holdings of the two mortgage giants more quickly, and will require payment to the government of all quarterly profits the companies earn. The Treasury Department announced the changes Friday to deal with concerns that the companies could at some point exhaust the federal support they were guaranteed when they were taken over by the government in September 2008. They would also be required to accelerate the reduction of their mortgage holdings to hit a cap of $250 billion by 2018, four years earlier than planned. Join the IHT on Facebook for more of the global conversation. Get Free...
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