1,800 banks could line up for bailout funds
November 4, 2008 by Personal Liberty News Desk
More banks could apply for their share of the government’s $700 billion rescue package than was originally estimated, according to a report in the Wall Street Journal.
Although some financial institutions have claimed they are strong enough to survive without asking for money, the publication says that Treasury and banking regulators have suggested that as many as 1,800 publicly held banks could join the line for funding in the next few weeks.
Additionally, it has been suggested that thousands of private banks could also apply for financial relief as well.
Current figures indicate that nine large banks are on track to be supplied with $125 billion, while 16 regional institutions are set to receive $33 billion under the Troubled Asset Relief Program, Reuters reports.
Dividend.com has suggested that some lenders may feel pressure to sign up for capital from the government or risk falling behind others who take the money.
The TARP program has a November 14th deadline for application and reports have estimated that there is around $125 billion left for smaller banks to claim before that point.