An offering of credit card-backed bonds from General Electric Co. that is eligible for the Federal Reserve's Term Asset-Backed Securities Loan Facility was enlarged and brought to market Tuesday.

The $1.75 billion issue, dubbed GEMNT 2009-2, was originally for $1.25 billion, according to a person familiar with the matter.

The underwriters aimed to price the securities at an interest rate 155 basis points over a short-term benchmark. The pricing is expected today.

In May, GE sold a $1 billion credit card loan-backed, Talf-eligible deal at 210 basis points over the one-month London interbank offered rate.

Under Talf, the central bank gives investors cheap loans to buy newly created asset-backed securities. The next loan application deadline for Talf purchases of securities backed by consumer debt is Thursday.

GE's deal is the largest this month.

More than $7 billion in deals have surfaced ahead of the program's sixth loan deadline. Last month, the total was a little over $12 billion, and in June, it was $16.4 billion.

The program is credited with having boosted the securitization market and helping reduce borrowing costs for consumers. Introduced in March, it got a lukewarm reception because of onerous documentation requirements, but issuers and investors have since warmed to it.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.