People who rely on public transportation could wind up paying more for it thanks to the financial meltdown.
     
The problems stem from the collapse of insurance giant American International Group, which had guaranteed financing deals between transit agencies and banks.
     
In a once-common practice that the IRS has ended, many transit agencies sold equipment to banks, which then leased the equipment back to the agencies.
     
The transit agencies got big money up front while banks got the lease payments and tax write-offs.
     
Officials say about 30 transit agencies across the country had entered into these types of deals, involving billions of dollars.
     
Rob Healy of the American Public Transportation Association says fare increases, service reductions and delays in capital improvements could result.