CIT Group Filed for Chapter 11 Bankruptcy Protection

Another major financial institution filed for chapter 11 bankruptcy. The CIT group is going under. What does this mean for the bailout money it received? Taxpayers are going to lose the $2 billions it lent the group.

While it is trying to restructure itself, it will continue to keep its previous contracts.

It also requested more money from the government that refused to lend more. It looks that there is a tendency to let some of these too big to fail institutions go down the tube.