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Reconstruction Finance Corporation (RFC), former U.S. government agency, created in 1932 by the administration of Herbert Hoover. Its purpose was to facilitate economic activity by lending money in the depression.
The Reconstruction Finance Corporation initial money came from selling $500 million worth of stock bonds to the US Treasury. To obtain more capital, $1.5 billion bonds were sold again to the Treasury which was then sold to the general public.he Reconstruction Finance Corporation initial money came from selling $500 million worth of stock bonds to the US Treasury. To obtain more capital, $1.5 billion bonds were sold again to the Treasury which was then sold to the general public.