The Treasury Plan - Simplified
Imagine a storage room filled with big boxes, and each of those boxes is filled with folders, each of which is somebody's mortgage loan. Each of these big boxes represents a 'pool' of loans. Normally, after the mortgage company fills one box (pool), they sell it off to an investor to recover their money (at a profit) so they can lend it out again for new mortgages. And the cycle repeats itself.
Each of these pools meant to be sold to investors is made of similar types of loans organized
