The much-criticized Troubled Asset Relief Program (TARP) will end up costing the federal government about $25 billion, far less than previously expected.

A report from the Congressional Budget Office (CBO) said that the costs will largely stem to funds given to American International Group (AIG), the auto industry and grants intended to avoid foreclosures.

"Other transactions with financial institutions will, taken together, yield a net gain to the federal government," the CBO said.

The estimated cost of the TARP program has consistently fallen. In March 2010, it was expected to cost $109 billion. By Aug., that had fallen to $66 billion.

The reduction is due to factors including lower than expected cost of aid to AIG and lower than expected participation in mortgage programs.

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David Zapen

Saving AIG with billions of dollars is a necessary evil to wind down the five hundred trillion dollars in derivatives, bets on bets on bets invented like card games. See www.usdebtclock.org for unofficial estimates on the national debt and other crises in the making. Tune in www.green960.com to hear Stephanie & Thom & Randi (9am to 6pm Eastern Time) instead of Beck/Rush/Hannity in the same time slot. The first two have uStream accounts for live video. Real unemployment isn't steady at 9.6% like www.bls.gov/news.release/empsit.t15.htm says, but jumped 0.5% to 22.5% like www.shadowstats.com says; these numbers will update on Friday, December third.

December 02 2010 at 10:17 PM Report abuse rate up rate down Reply
ultraz2

TARP COST still at 700 Billion as none of the money was ever paid back and applied to lowering the National debt from which it was borrowed. Therefore the cost remains at 700 billion dollars plus a prepetual annual intrest that is compounding and paid to the Chineese. Why does this article NOT say this.More smke and mirrors BS.

November 30 2010 at 3:42 PM Report abuse +1 rate up rate down Reply
2 replies to ultraz2's comment
mickeymoe24

The bailout money lost is not 700 billion.Right now the estimate is at 25 billion and it probably will go lower.The culprit for any loss is AIG.Oherwise the government would have turned a profit by way of the bailout.Keep up with the news and stop bringing up old complaints that today have no merit.The national debt is so high because the President before Obama stuck him with it.

November 30 2010 at 5:16 PM Report abuse +3 rate up rate down Reply
hercules89111

So big deal if TARP was paid back. Go to FDIC website. over 140 banks have failed. FDIC absorbs all the bad assets. You are still paying for the banks through the FDIC and no one is paying this back.

December 02 2010 at 12:58 AM Report abuse +1 rate up rate down Reply
hustonlaw

Not to be too much of a cynic, but I'll believe these estimates only after AIG in particular, and the other creditors, actually pay down their mammoth obligations to the taxpayer; in short, I would never trust these estimates.

November 30 2010 at 1:58 PM Report abuse +3 rate up rate down Reply
mrmobetter4u

If you think Obama Administration had wasteful spending, just research Bush, Bush Sr. and Reagan Administrations and you won't be able to compare the waste. Without them the budget would be balanced and in the profit zone. NO more Republicans please!!!

November 30 2010 at 12:56 PM Report abuse +2 rate up rate down Reply
1 reply to mrmobetter4u's comment
larrys69z28

Oh please,,why do people put such crap on here,,do you realize the Obamas plan is aproaching one trillion in digital money thats not backed by anything other than outside investments in the United States, and if they come calling for that money back, where does he plan to get it. Bush warned of this, up and coming problem in the mid 2000 The housing problem is because of all the parties wanting people who can not afford the loans, but they all needed the tax money from, republicans and democrates alike are all at fault. Im guessing that you one of the idiots that thinks Clinton got rid of the national debt, Clinton was the fool that signed the bill that got rid of the Glass Steagal act, dating back to 1933 i believe,, now we have the to big to fail problem!!!! Do your researce and you will find problems everywhere, with everone. The difference to me is what Obama ran on,,CHANGE!!! What a lie!

December 29 2010 at 12:13 AM Report abuse +1 rate up rate down Reply
chase5300

WHY believe ANYTHING these crooks tell you?!?!! Just look at WikiLeaks and see millions of LIES that our government tells us. Sickening, really. WALL ST and the FED have their tenacles all over the Federal Gov't just like Thomas Jefferson warned us about 200 years ago.

November 30 2010 at 11:28 AM Report abuse +4 rate up rate down Reply
jkennedy806

That's because it didn't help the US homeowner like it was suppose too. It only bailed out the banksters, wall street hoodlums, ratings crooks.

November 30 2010 at 9:20 AM Report abuse +3 rate up rate down Reply