White House: No extra bank bailout money needed
WASHINGTON — The White House says it has no plans to ask Congress for more taxpayer money to bail out struggling banks.
The government on Thursday will release results of “stress tests” for the nation’s 19 largest banks, providing guidance on which banks may need more government support to withstand a more severe recession. Those that can’t raise additional capital may get it from a $700 billion financial rescue fund.
The Obama administration has proposed seeking additional bailout money in case it is needed. Congress has opposed that unpopular idea.
White House press secretary Robert Gibbs said Monday he has not seen all the “stress test” results but that the administration is confident it has enough money on hand and won’t ask Congress for more.