A1 The savings and loan rescue proposed by President Bush met with serious opposition from his own Republican ranks in a confrontation that reflected heavy lobbying efforts by the industry.

Rates assume increasing importance as Government borrowing swells for the savings and loan rescue.

But the savings and loan rescue is far different.

In his meetings with Congressional officials today, Mr. Darman said the size of the deficit for 1991 would depend largely on how the savings and loan rescue is handled.

Congress left for its two-week spring break without appropriating essential additional money for the savings and loan rescue.

Mr. Seidman cautioned the lawmakers against expecting quick results from the savings and loan rescue, saying that even a year from now the end will not be in sight.

As it is, the savings and loan rescue is expected to cost the Government $200 billion, not including interest expenses.

They say they are simply pursuing every channel they can to reduce the cost of the savings and loan rescue, and that holding directors accountable will lead to stronger management.

But these officials are primarily concerned that the Government is looking to the insurance industry as a source of capital to pay some of the cost of the savings and loan rescue.

Combining the two bills would require the largest single financial bailout measure in American history, far exceeding the $50 billion approved to begin the savings and loan rescue in 1989.