Law and regulation

The banking industry is pushing back against a plan released this week by the Consumer Financial Protection Bureau to publicize more details about consumers' individual complaints about financial companies.

The New York Department of Financial Services has released proposed framework for its much-anticipated BitLicense. Though the agency describes its proposal as a balanced approach that does not stifle innovation, its rules might be considered too strict for many companies.

New York's financial regulation chief is proposing a "BitLicense" regulatory regime that he says will protect consumers and root out wrongdoing without stifling innovation by virtual-currency businesses in the state.

A recent article by Thad Woodard proposed slashing the number of Federal Home Loan Banks in order to free up funds for community lending. But the Home Loan Banks' member institutions are already empowered to push for consolidation any time they choose, writes the FHLBanks' Steven F. Rosenbaum.

Nonbank mortgage lenders pose greater risks to Fannie Mae and Freddie Mac because they have limited government oversight and generally weaker finances than banks, according to a government watchdog report.

Under a measure passed Wednesday, the use of federal funds to punish banks for providing accounts to pot businesses would be prohibited.

Bank of America Corp. reiterated an offer to pay about $13 billion to settle federal and state probes of mortgage-backed bond sales, a deal prosecutors had previously rejected, a person with knowledge of the matter said.

A Senate Banking Committee hearing looked at whether some regional banks that meet the Dodd-Frank Act's "systemically important" threshold belong in the same group as global giants.

The push to expand banking services at the country's post offices continues to gain momentum, though numerous questions remain about the design and scope of such an effort.

Ocwen Financial (OCN) has created a community advisory council to address the needs of distressed borrowers amid regulatory scrutiny of the mortgage servicer.

WASHINGTON — Banks across the country continued to see widespread signs of increased lending to consumers and businesses in the third quarter, according to a Federal Reserve report released Wednesday.

Federal Reserve Board Chair Janet Yellen on Wednesday defended the credibility of living will plans submitted by the country's largest banks, saying it was a complex but useful process.

The Consumer Financial Protection Bureau issued a proposal Wednesday that would allow it to publish more information about individual complaints made by consumers about financial companies.

Borrowers with a first-lien modification and home equity line of credit could face a spike in their monthly mortgage obligations when the interest rates on both loans reset next year.

Bank of America completed a $2.1 billion bulk sale of nonperforming home loans in the second quarter, and is almost done with such dispositions, said Chief Financial Officer Bruce Thompson.

Even activities permitted under the Volcker Rule may not be worth the legal and compliance costs for small and midsize banks, according to three attorneys at Bass, Berry & Sims.

U.S. Treasury Secretary Jacob J. Lew urged Congress and financial companies to step up their fight against cyber threats, saying malicious acts pose a risk to national security and financial stability.

Mian, a money services business in Georgia, has agreed to pay the Financial Crimes Enforcement Network a $45,000 penalty for repeatedly violating the Bank Secrecy Act.

Smaller banks are disproportionately affected by regulation, forcing some to consider selling or to rethink their strategy, two community bankers argued before Congress.

Although the landmark bill bearing his name stopped short of consolidating the regulators, former Sen. Christopher Dodd said creating a single prudential agency could be revived one day.