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FannieMae and FreddieMac are quasi-government agencies dedicated to packaging mortgage's so they can be sold on Wall Street. SallieMae is the same type corporation that packages student loans, one major difference being that they also service loans. The underlying loans being sold, but they continue to do the servicing.
If you ever see a comment in a financial story about GNMA that relates to the FHA loan pools that are packaged and sold on Wall Street.
Funny story on NPR this morning is that Wall Street evidently sold more than half of the "toxic" subprime loans to the Europeans as their losses at this point are an admitted 34 BILLION more than the US ones.
Lastly, and on my soap box, the bond rating agencies-Standard & Poors, Moody's, etc, are getting their heads slapped over their misrepresentation and lack of knowing wht they were doing when they rated Mortgage Backed Securies that were sub-prime the same as the ones that were prime. But that is all. It is sort like they are saying that the investors should have known something was up when certian pools were yielding lots more than others. DUH, more risk....
Charles
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