The July 7 Term-Asset Backed Securities Loan Facility (TALF) will be available only for non-mortgage asset-backed securities, and will for the first time include prime-based loans for private student loan ABS, the Federal Reserve Bank of New York said this week.
According to the guidelines listed by the N.Y. Fed, investors borrow money form the Fed for securities backed by auto loans, student loans, credit card loans, equipment loans, floorplan loans, insurance premium finance loans, loans guaranteed by the Small Business Administration, residential mortgage servicing advances, or commercial mortgage loans.
The subscription date will run from July 7 through July 14, with a three-year maturity date of July 16, 2012 and a five-year maturity date of July 14, 2014.
