In a plan to stimulate the flailing American economy and instill confidence in the credit market once more, the U.S. federal government will be launching a new $200 billion program to help Americans finance large purchases. Previously, it was thought that the government could increase the program to around $1 trillion, but it seems that there is only $200 billion in the coffers of the treasury for this specific purpose.

The plan is in line with Obama's goals of improving the economy through consumer spending increases, and should prove a relief for those Americans seeking loans to purchase cars, homes and other necessary items.

Currently, the credit market has left Americans with few options when it comes to financing except to deal with excessive rates in the shrinking money market. However, if the program is successful in buying securities that are backed by debt then the credit market should ease and allow lending to begin again.

The new plan, known as the Term Asset-Backed Securities Loan Facility will require those taking loans to place collateral on the table in return for the loans, and the loans will last for three years beginning on March 25. A second round of loans will be dished out in April, and it is during this round that the government expects securities guaranteed by fleet leasing will be eligible for funding.

Should the program be successful, the world automobile market may see a resurgence in sales, as currently one of the largest factors impacting auto sales is the poor state of the U.S. car market.