legacy loan program

Now that the banks have their training wheels on -- now that they've shown they can raise private funds and clean up their balance sheets without depending on the FDIC's Legacy Loan Program (a.k.a., "toxic-assets program") -- the FDIC plans to use the TARP funds slated for the program to sell...

The FDIC's plan to help banks rid their balance sheets of toxic mortgage assets was put on life support -- and may now be dead. Many banks have refused to accept their losses and sell their loans, even though the government was prepared to prop up prices by offering cheap financing to investors....