America’s economy runs on credit, and the stock and housing market slides come as credit markets everywhere hit a virtual stand-still. Consumer loans for automotive purchases and even student loans have dried up for many consumers. While the mortgage market comes to a halt and some banks are even hesitant to lend to each other, at least the National Republican Congressional Committee can still get a loan.
The NRCC secured an $8 million loan from North Carolina-based Wachovia this week in order to fund last-minute campaign activities. That would seem to give the committee about $22 million cash on hand, based on filings made through the end of August (September filings are due October 20).
That’s still well behind what the Democratic Congressional Campaign Committee has to offer. As of September 1, the DCCC had $54 million in the bank.
The NRCC has dealt with Wachovia before, and the company is used to giving to the GOP. Data from the Center for Responsive Politics shows the company’s PAC gives 62% of its contributions to Republicans, with a heavy importance on North Carolinians (the bank is based in Charlotte).
Wachovia itself is enmeshed in the financial crisis. A deal to allow Wells Fargo to acquire Wachovia is still being worked out. Still, it’s nice to see at least a small part of the credit market lending.