TALF (Term Asset-Backed Securities Loan Facility), is a program created by the Federal Reserve Board in November 2008 to support the issuance of asset-backed securities collateralized by student loans, auto loans, credit card loans, and SBA-guaranteed loans.
TARP (Troubled Asset Relief Program) is a vehicle created to strengthen the financial sector by giving the U.S. Treasury $700 billion in purchasing power to buy mortgage-backed securities from financial institutions. It is the largest component of the government’s measures in 2008 to address the subprime mortgage crisis. be
Carolyn M. Brown and John Simons co-authored this article.