The Resolution Trust Corp. got its best results yet at a loan auction in Kansas City, Mo., last week.
In its seventh (and next to last) national loan auction, the agency sold about 7,500 performing and nonperforming loans for $230 million.
That produced a 65% recovery on the assets' principal balance of $352 million - the best recovery rate in any of the national loan auctions. Performing loans sold for an average of 78% of principal balance; nonperforming loans, for an average of 55%.
One hundred seventy-four companies and individuals signed up to bid on the loans, all previously held by failed saving institutions taken over by the RTC. There were 78 winning bids.