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NEW YORK TIMES European Central Bank Said to Be Relaxing Rules for Collateral | Europe's central bank is set to ease the rules for the assets used to secure loans, in an effort to relieve strains on Spanish banks, The Wall Street Journal reports, citing unidentified people familiar with the matter.
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The European Central Bank on Friday tightened the rules for the collateral it accepts against loans as it prepares to unwind emergency liquidity measures.
States might also consider new rules regarding compensation for collateral damage, just as victims of war crimes are sometimes entitled to reparations.
Relaxation of collateral rules for banks will be discussed next month.
2.06pm: Another journalist asks whether the decision to tear up the collateral rules for Greek debt last weekend was unanimous.
(See Mass MOCA's "Unnatural Science" show for collateral confirmation).
Often good clients can use their art collections for collateral.
To minimize his risk, he asks for collateral.
"Goldman was first going in the door asking for collateral.
The potential for collateral damage is high.
It's still early days for Collateral Freedom.
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