Cheyenne Hopkins

The administration wants to limit any bank from holding more than 10% of the industry's net liabilities. The curb would only apply when a bank was trying to expand through acquisition, similar to an existing cap on any institution holding more than 10% of the nation's deposits.

The Treasury Department released a legislative outline Wednesday offering more details on how it would implement a ban on certain risky activities and cap financial institution size. The administration wants to limit any bank from holding more than 10% of the industry's net liabilities. The curb would only apply when a bank was trying to expand through acquisition, similar to an existing cap on any institution holding more than 10% of the nation's deposits.

While the Obama administration's efforts to boost small-business lending languish on Capitol Hill, lawmakers are pressing an alternative.

On the eve of a hearing on credit and small-business lending, Comptroller of the Currency John Dugan said Monday that regulators and banks must err on the side of protecting safety and soundness over encouraging credit availability.

Regulators were picked apart Friday by members of two House committees, who blamed them for a dramatic drop in lending and urged them to ease up on bankers.

Fed Chairman Ben Bernanke on Thursday made his strongest public pitch to date to keep the central bank's powers intact, while industry lobbyists privately told Treasury Secretary Tim Geithner that they will work with the administration to press Congress on the issue.

A day after the release of regulatory data that showed the worst decline in lending in 67 years, lawmakers pressed Federal Reserve Board Chairman Ben Bernanke Wednesday on what he and the other agencies were doing to reverse the trend.

The Treasury Department announced Tuesday that it is resuming its "supplementary financing account" to lend to the Federal Reserve in support of the central bank's balance sheet.

The Credit Card Accountability Act, which Obama signed in May, would prohibit issuers from raising interest rates unless a cardholder is 60 days late, ban double-cycle billing and stop overlimit fees without an opt in.

The Treasury Department is weighing changes to its loan modification program, including forcing lenders to delay foreclosures by at least 30 days if they have denied a borrower a mortgage modification.

President Obama announced a program Friday to funnel $1.5 billion to states to assist unemployed, underwater and second-lien borrowers.

Mortgage fraud continued to increase in financial institutions, according to data released Thursday by the Financial Crimes Enforcement Network.

The Office of the Comptroller of the Currency released a consumer advisory Thursday warning of safety and soundness risks in refund-anticipation loans.

Federal Deposit Insurance Corp. Chairman Sheila Bair said Thursday that the agency is designing a principal-reduction program as part of its loss-sharing agreements.

The Office of the Comptroller of the Currency announced a formal enforcement agreement Thursday with Capital One Bank for unfair credit card closing practices between 2004 and 2006.

Banks have extended 116,297 permanent modifications under the administration's loan workout program, according to a Treasury Department report released Wednesday.

The Independent Community Bankers of America sent a letter to Treasury Secretary Tim Geithner on Wednesday asking that a broad pool of community banks be made eligible for a proposed $30 billion small-business lending program.

WASHINGTON — Joseph Smith, the North Carolina commissioner of banks, said federal regulators should ease restrictions on private-equity capital to help the recovery of community banks.

The Senate confirmed three Treasury officials last week: Mary Miller as assistant secretary for financial markets, Marisa Lago as assistant secretary for international markets and development and Charles Collyns as assistant secretary for international finance.

Sen. Mark Warner, D-Va., hinted Thursday that the so-called Volcker Rule would be addressed in a more scaled-down version in legislation or merely through the existing regulatory structure.