The US Federal Reserve and Treasury on Tuesday launched a $1,000bn consumer loan financing plan, with the first loans aimed at boosting the availability of credit for auto loans, credit cards and student loans to be made on March 25. The so-called term asset-backed securities loan facility (Talf) is a core plank of the US government’s efforts to give consumers access to credit. Under the plan, the Fed will lend money to investors such as hedge funds to encourage them to buy the securities backed by car loans and credit cards and other types of lending.
