Tarp, Bailouts | featured news

Administration could announce as soon as Monday that repayment can begin, but some officials warn that other types of support belie show of progress.

Citigroup will lend up to $5 billion in TARP funds in a municipal program to help finance construction of schools, airports, hospitals and other infrastructure products.

Capital One Financial joined U.S. Bancorp and BB&T, saying it would offer common shares as it looks to raise cash and pay back its TARP funds.

Banks that want to pay back their federal bailout funds and free themselves from government restrictions on compensation and dividends will have to sever their ties to another financial assistance program.

The U.S. Treasury estimates that there is about $134.5 billion left in its financial-rescue fund, which would mean that about 81% of the $700 billion program has been committed.

The bank holding company wants to return funds to taxpayers, but it will not do so before the stress test.

The U.S. Treasury Department on Thursday pledged to provide up to $5 billion in financing support to auto suppliers to help them survive a massive downturn in car sales.

At least 50 banks have rejected funds from the Treasury over concerns that tougher restrictions may be imposed.

In a symbolic gesture of dissatisfaction with the government's attempts to stabilize the financial system, the U.S. House of Representatives voted 270-155 on Thursday against releasing a second allotment of $350 billion to the Troubled Asset Relief Program, or TARP.

A divided Senate has approved President-elect Barack Obama's request for $350 billion in unspent financial bailout funds.