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There's a certain type of payment that's prone to fraud because the payer doesn't always know when a transaction is made, or even when the relationship starts.

Banking activity snapped back into expansion mode in February according to the latest reading in the Index of Banking Activity. The upturn was driven primarily by significant momentum in the Northeast and Midwest regions and contrasted strongly with a particularly weak reading in January. In the latest month, index components that track loan application and approval activity turned positive for both the consumer and commercial sides of the business. Survey respondents also were mostly positive on questions related to credit quality, with sentiment on delinquencies improving in several regions. Despite the upturn for the loan-origination indicators, there was no evidence of increased momentum in the component that monitors loan balances outstanding. But this seems to have stemmed from a positive development as well, as several respondents noted that February saw customers pay down loan balances and, in one respondent's case, the payoff activity cleared up loans that had been viewed as problematic in January. One common theme across the respondent pool was that competition had intensified significantly for new commercial loan business, resulting in a tougher pricing environment in several regions.

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The Dallas-based subprime consumer lender backed off controversial changes to its method for calculating its quarterly provisions for loan losses, forcing it to revise earnings downward for the last two years. It also announced that it had found more accounting issues.

An 11-page paper by the agency signaled its intent to take a higher-profile role in ensuring that regulators are not inappropriately hampering banks' adoption of new technologies to reach customers, while also keeping an eye out that institutions are able to handle the risks involved.

BNC Bancorp in High Point, N.C., has delayed the closing of its acquisition of Southcoast Financial in Mount Pleasant, S.C., as the Federal Reserve has not completed its review of the deal.

AmeriServ Financial in Johnstown, Pa., will record a first-quarter loss because an unnamed energy-sector client plans to liquidate under bankruptcy protection.

Belvoir Federal Credit Union in Woodbridge, Va., will be merged into Pentagon Federal Credit Union, the largest merger in PenFed's history.

NEW YORK CITY — Just six months after being placed into conservatorship, Montauk Credit Union, based here, was merged into Bethpage Federal Credit Union of Bethpage, N.Y., effective Thursday.

Despite email filters and training programs, bank customers still click on fake emails and malicious links at an alarming rate. Newer technologies and methods hold promise for getting phishing under control.

Apple Bank for Savings in Manhasset, N.Y., said Thursday that Chief Operating Officer Steven Bush is taking over as chairman, president and CEO from Alan Shamoon, who is retiring.