Fannie and Freddie could need $100 billion bailout in next crisis, stress test finds
Fannie Mae and Freddie Mac could need a taxpayer bailout of as much as $99.6 billion if a severe economic downturn gripped the U.S., their regulator said Monday.
The Federal Housing Finance Agency released the results of a stress test that examined how the mortgage finance companies would perform in what’s called a “severely adverse scenario.” The stress test was mandated by the post-financial-crisis Dodd-Frank Act and the specifics of the scenario were devised by the Federal Reserve.
http://www.marketwatch.com/story/fannie-and-freddie-could-need-100-billion-bailout-in-next-crisis-stress-test-finds-2017-08-07
https://www.wsj.com/articles/fannie-freddie-could-need-100-billion-bailout-in-next-crisis-stress-test-finds-1502210778
Fiat currency is getting weaker and weaker, the banks are getting weaker and weaker. When will the next financial collapse come and how much will it cost us, the people, to bailout the banks when that will happen?
https://www.youtube.com/watch?v=osv60shG8hI
Fannie-Freddie Might Need $100 Billion in New Crisis, FHFA Says
Mortgage-finance giants Fannie Mae and Freddie Mac could need nearly $100 billion in bailout money in the event of a new economic crisis, according to stress test results released Monday by their regulator.
The companies would need to draw between $34.8 billion and $99.6 billion in U.S. Treasury aid under a “severely adverse” scenario, depending on how they treated assets used to offset taxes, the Federal Housing Finance Agency said in its report. The losses would leave $158.4 billion to $223.2 billion available to the companies under their bailout agreements.
https://www.bloomberg.com/news/articles/2017-08-07/fannie-freddie-might-need-100-billion-in-new-crisis-fhfa-says
h/t Wash 2.0