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The Federal Reserve said that it will begin paying interest on commercial banks' reserves and will expand its loan program to banks by billions of dollars, fresh steps to help ease a painful credit crisis. The $700 billion bailout law gives the Fed the power to pay interest on those reserves for the first time. The law accelerated the effective date to October of this year vs. in 2011.
Links:
[1] http://www.usatoday.com/money/industries/banking/2008-10-06-fed-reserves_N.htm