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Friday, December 26, 2008

GMAC gets the government's OK to become a bank

The Federal Reserve gave General Motors a crucial boost yesterday by approving a request from GMAC, which provides funding for most of the automaker's dealers and many of its customers, to become a bank holding company.

The move gives GMAC access to new sources of funding, including a potential infusion of taxpayer dollars from the Treasury Department and loans from the Fed itself.

Read the rest in the Washington Post.

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