GMAC is now a bank, even though they haven’t reached requested levels of capitalization.
To me, the most interesting part of the Fed’s decision to allow GMAC to become a bank is the fact that it will be broken up to the point at which its owners will effectively have no control over it any more. The Fed seems to have concluded that GMAC has a strong management team in place, and that its current woes are more a function of its shareholders than they are of GMAC’s own internal mismanagement.
The total disregard for anything that resembles rules is going to cause big problems down the road.