WASHINGTON — The government Wednesday provided a $3.8 billion cash infusion to stabilize GMAC Financial Services as the company struggles with hefty losses in its home-mortgage unit.
The Treasury Department said the new aid, which comes from a taxpayer-financed bailout fund, is less than the roughly $6 billion the government had earlier thought GMAC would need to stabilize the company.
The fresh infusion is on top of $12.5 billion in taxpayer money Detroit- based GMAC has already received from the government. The new agreement will boost the federal government’s ownership in GMAC to 56 percent, from 35 percent.
Even with the government upping its stake, Treasury officials said the government intends to stick to its policy of leaving day-to- day business decisions about financing to GMAC management.
