The U.S. national/public/national debt is the total amount of money that the United States federal government owes to creditors as a result of federal government shortfalls, or deficit budgets in which the government’s expenses exceed its revenues. Government’s creditors include all individuals, businesses, governments and other organizations that own U.S. government debt securities (Treasuries notes, bills, bonds).
The Federal Financing Bank (FFB) is a government corporation, created by Congress in 1973 under the general supervision of the Secretary of the Treasury. The Federal Financing Bank was created to centralize, reduce the cost of, and efficiently manage federal borrowing. FFB was established to centralize and reduce the cost of federal borrowing as well as federally-assisted borrowing from the public. Obligations are issued to the public by the Federal Financing Bank (FFB) to finance its operations. Obligations are limited to $15 billion unless otherwise authorized by the Appropriations Acts, (the legislative motion (bill) that authorizes the government to spend money). Currently the U.S. debt limit is $17.2 trillion debt; until 15 March 2015.
The Current National Debt is almost $18 Trillion Dollars (Feb. 2015)
- Debt held by the public. This includes is all federal debt securites issued by the U.S. Treasury that is held by individuals, corporations, state or local governments, Federal Reserve Banks, foreign governments, and other entities outside the United States Government less Federal Financing Bank securities. Types of securities held by the public include, but are not limited to, Treasury Bills, Notes, Bonds, TIPS, United States Savings Bonds, and State and Local Government Series securities. Debt held by the public excludes the portion of the debt that is held by government accounts.
- Debt held by government accounts or intergovernmental debt/holdings. Government Account Series Treasuries (GAS) are the principal form of intergovernmental debt holdings – the loans to the government agencies the government borrowed from. When there is a federal government budget deficit, the government borrows from agencies that have a surplus, like the Social Security fund, promising to repay the money at a later time.