Investors sought $1.7 billion in loans to buy asset-backed securities under the government’s Term Asset-Backed Securities Loan Facility (TALF), designed to jumpstart consumer lending, the NY Federal Reserve Bank said today in an update to its Web site.
Investors requested $811,023 million in discount Fed financing to buy securities backed by auto loans, and $896,780 million to buy bonds backed by credit-card payments.
The central bank provided $4.7 billion in loans last month to purchase securities in the TALF’s first monthly round. Based on today’s data release, the Federal Reserve’s requests from borrowers fell 64% on a m/m basis. [via NY Fed Bank]