Again, lending at commercial banks that received TLGP
assistance fell in Q4 2008.
debt outstanding has a longer term at issuance compared to debt outstanding at the end of 2008.
In addition, in mid-October, the FDIC announced that the TLGP
would provide an unlimited guarantee of deposits held in noninterest-bearing transaction accounts at participating depository institutions.
The FDIC cited the systemic risk exception as its authority for the TLGP
24) We used a two-period difference-in-difference specification, where the dependent variable was the change in average relative size from the year of the TLGP
(fourth quarter of 2008 to fourth quarter of 2009) to the year preceding the program (third quarter of 2007 to third quarter of 2008).
Although the TLGP
is a voluntary program, eligible financial institutions were automatically registered unless they expressly requested their exclusion from the program by November 12, 2008.
A number of organizations had urged the FDIC to clarify that IOTA accounts were covered by TLGP
, including the ABA, The Florida Bar Foundation, the National Legal Aid and Defender Association, and the National Association of IOLTA Programs.
One of the two components of the TLGP
was the Transaction Account Guarantee Program, which introduced a guarantee in full of noninterest-bearing transaction accounts through December 31, 2009.
Global Banking News-29 January 2009-Bank of America sells TLGP
bonds(C)2009 ENPublishing - http://www.
Participation in the FDIC's TLGP
qualified as a satisfactory guarantee for unsecured commercial paper, as the U.