In testimony given yesterday before the Senate Committee on Banking, Housing and Urban Affairs, Sheila C. Bair, Chairman of the FDIC, discussed the FDIC’s Temporary Liquidity Guarantee Program, including related fees and timelines, as well as efforts to reduce unnecessary foreclosures and the possibility of government guarantees of loans that have been modified by servicers in accordance with established standards.  Chairman Bair’s Testimony.

Also yesterday, the FDIC released an Interim Final Rule implementing the FDIC’s Temporary Liquidity Guarantee Program. The rule sets forth the criteria and conditions for participation in the program, which was initially announced on October 14.  Orrick Structured Finance Alert.