Citi's US aid funds bank's return to home loan finance
Citigroup says it's using $2 billion in federal TARP money to resume financing home mortgage loan companies.
Citigroup says it's using $2 billion in federal TARP money to resume financing home mortgage loan companies. The giant bank grew rich in the home loan finance boom of the mid-2000s, only to lose billions, requiring federal aid, in the resulting credit market bust last year. Citi's report on its TARP use here, see below page 5.
Bloomberg says Citi, GMAC and Wells Fargo are among the few still financing "warehouse" home lending, after PNC and other big and regional banks pulled out. Story here.