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Freddie Mac, the informal name of the Federal Home Loan Mortgage Corp., is a U.S. government-sponsored enterprise (GSE) that buys mortgages, combines them with other forms of loans, and sells the debt to investors on the secondary mortgage market. In collaboration with the Federal National Mortgage Association, or Fannie Mae, Freddie Mac’s operations increase the money supply available for mortgages and guarantees mortgages for low- and middle-income homeowners.


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