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How is CFC going to pay for the purchase of HomeBac?


How is CFC going to pay for the purchase of HomeBac? How are they going to pay B of A 7.25% on 2 billion dollars? From what I understand, CFC is not able to sell their loans in the secondary market..how are they going to pay for everyday business transactions...In addition, their debt insurance continues to increase... In my opinion, it's time to run for cover.

If they can't pay, BAC will end up owing them. I'm not sure it's true that they can't sell their loans in the secondary market. They obviously have $2 billion of fresh cash and they do make money from banking, from loan servicing, as well - a greater percentage of their revenues than you would guess.

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