CIT Group has secured the court’s approval over a $500 million loan deal, Bloomberg reports. The firm is seeking to borrow the sum to issue letters of credit, which will back its debts. The loan is being offered by a syndicate led by Bank of America.

The court had allowed CIT access to a $125 million loan on an interim basis earlier in November 2009. The firm’s existing $750 million letter of credit facility is not enough to fund its debt, which matures in May 2010.

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