It almost seems prudent to let the banking system explode.
CNN: Top executives from eight of the nation's largest financial institutions told Congress Wednesday that they are continuing to lend, even as banks have come under severe scrutiny in recent weeks about their use of billions of dollars in government aid.
But skeptical legislators weren't buying it.
At a closely-watched hearing before the House Financial Services Committee, CEOs from such embattled firms as Citigroup (C, Fortune 500) and Bank of America (BAC, Fortune 500) defended their actions since taking hold of $165 billion last fall, adding that without government assistance, credit would be even harder to obtain.
"We are still lending, and we are lending far more because of the TARP program," Bank of America Chairman and CEO Ken Lewis said in his prepared remarks.
Representative Maxine Waters questions CEOS who increased credit card rates after receiving bailout money:
More grilling:
