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It guaranteed lenders a 9.5percentt rate of return.
The Obama administration's move to encourage mortgage principal reductions offers lenders a subsidy to reduce principal.
To grow at home, they must merge, but unions make state lenders a risky buy.
Another rule gives lenders a "safe harbor," or immunity, from certain lawsuits for certain qualified mortgages.
Most companies would have to pay lenders a premium to borrow so much.
To tie in to the big, out-of-state lenders, a customer probably needs a broker.
They can give lenders a postdated personal check or authorize an electronic funds withdrawal.
Is the idea that taxpayers should necessarily guarantee private lenders a commonly accepted proposition?
Besides the regional lenders, a few big banks are also staring down trouble.
"Essentially, it could give some lenders a mechanism to wait things out," Ms. Murad said.
MGM Grand Detroit has also granted lenders a security interest in its assets, the company said.
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