UPDATE 3-GMAC gets Fed's OK to become bank holding company

(Adds detail on importance of bank holding status in new paragraph 4)

By Emily Kaiser

WASHINGTON, Dec 24 (Reuters) - GMAC LLC won U.S. approval on Wednesday to become a bank holding company, giving it access to government lending programs and helping it stave off bankruptcy.

The Federal Reserve's approval should allow GMAC to continue financing loans for General Motors Corp (GM.N) cars. GM Chief Executive Rick Wagoner said last week that GMAC's difficulties were "hammering" the car maker's ability to sell autos.

"In light of the unusual and exigent circumstances affecting the financial markets ... the board has determined that emergency conditions exist that justify expeditious action on this proposal," the Fed said in a statement.

Analysts said earlier this month that without bank holding status, GMAC could have trouble staying solvent.

But bank status comes at a cost for GMAC's majority owner Cerberus and its minority owner GM: Both must cut their stakes in the finance company to comply with U.S. bank regulations that prevent many kinds of companies from owning too big a share of a bank.

GMAC is getting the go-ahead to become a bank holding company just days after GM and Chrysler, which is owned by Cerberus, were promised public money from the Treasury-run financial bailout fund to stave off potential bankruptcy.

GMAC has struggled as the credit crunch has lifted its borrowing costs sharply, and the value of many of its assets has plummeted. It has lost $7.9 billion over the last five quarters.