Consumer Credit | featured news

The Federal Reserve is launching its much-awaited program aimed at boosting the availability of credit to consumers and small businesses.

The US Federal Reserve will launch its financing ­programme, worth up to $1,000bn, for consumer and business loans in the coming days, amid concerns that hedge funds might find it difficult to take advantage of the scheme.

The programme - the term asset-backed securities loan facility (Talf) - is the cornerstone of the US authorities' push to jump-start the credit market. Officials at the central bank say it will be up and running by the end of this month.

The FDIC plan to expand its debt-guarantee program is part of an aggressive government push to persuade banks to make more consumer loans and kickstart the economy.