Official: Plan will buy some of banks' bad assets - KWWL - Eastern Iowa Breaking News, Weather, Closings

Official: Plan will buy some of banks' bad assets

WASHINGTON (KWWL) - An administration official said the overhaul of the government's $700 billion financial rescue program is likely to include a partnership with the private sector to buy troubled assets.

The official said the plan will use government money to support private sector purchases of bad assets that are weighing on banks' balance sheets and keeping them from resuming more normal lending.

The official spoke on condition of anonymity because certain details of the plan are still being worked out.

Treasury Secretary Timothy Geithner is scheduled to announce the proposal on Tuesday.

Online Executive Producer Nate Leding

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