Todd Wheeler asked in comments a while back about if what the Fed is doing is somewhat like what they did for the Savings & Loan debacle of the late 80s. I said that I thought they just let the S&L's crash. I was wrong. They did let the S&Ls crash, but the Fed (with Congress) set up the Resolution Trust Corporation to help manage the assets the S&Ls had.
That is, if you had a loan through the S&Ls, the RTC could sell that loan to another bank instead of having the loan being called, or forgiven.
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