Law and regulation

Federal Reserve Bank of New York President William Dudley said the pace of eventual interest rate increases "will probably be relatively slow," depending on the economy's progress and how financial markets react.

Mortgage servicers and troubled homeowners may be losing faith that Congress will pass legislation saving borrowers from paying a tax penalty when they do a short sale.

Banks' have a new worry on the payday lending front besides the government's Operation Choke Point: lawsuits filed by consumers. Eleven financial institutions been hit with private suits that accuse them of helping online payday lenders break the law.

New York regulator Benjamin Lawksy plans to expand an investigation into the affiliated businesses of nonbank servicers and to eliminate several layers of review for mortgage bankers to apply for a license or a new branch location.

Freddie Mac has long struggled to compete with larger rival Fannie Mae because the former's mortgage-backed securities trade at a discount to the latter's. Their new regulator may change that.

Seven years after the onset of the housing crisis, many homeowners continue to face unfair and unnecessary foreclosures. Regulators can help remedy the situation by prioritizing greater transparency in mortgage relief and securing funding for housing counselors and legal advocates.

An internal report released Monday showed "statistically significant disparities" in staff evaluations based not just on race, but also age, location tenure, and whether staffers were part of the agency's union. The agency intends to pay between $5 million and $5.5 million to affected employees.

New York Attorney General Eric Schneiderman on Monday renewed calls for the state legislature to address the problem of "zombie properties," or foreclosed homes that banks have walked away from to avoid the cost of maintenance.

A new Federal Deposit Insurance Corp. report says agricultural lending by banks in areas with a declining customer base gave those institutions an advantage in weathering the downturn.

WePay's decision to halt a crowdfunding initiative for an adult film actress struck a nerve as payments companies are seen distancing themselves from people in the adult entertainment industry.

Mary Miller, a top Treasury official, on Monday sought to dispel the idea that regulators were moving quickly to label asset management firms as systemically important, saying they are still in the early stages of determining the risks posed by the industry.

Regulators' recent moves to encourage mortgage lenders to relax standards have reignited a contentious debate.

Banks that fail to comply with employment regulations leave themselves open to expensive lawsuits and bruised reputations.

San Antonio Mayor Julian Castro is in line to head the Department of Housing and Urban Development, part of an administration reshuffling that would bring a Democratic up-and-comer to President Barack Obama's cabinet.

Illinois state regulators closed the $66.3 million-asset AztecAmerica Bank in Berwyn on Friday.

A recent oil and gas boom in Texas that has captivated banks' attention is also drawing the eye of regulators as they become concerned how far institutions will go to win loans and hire specialists within the energy industry.

A recap of the informed opinions (and the discussions they generated) on BankThink this week.

The normally even-keeled moderate Sen. Mark Warner warned fellow Democrats voting against a housing finance reform that when Fannie and Freddie need another taxpayer bailout, it will be their fault.

Democratic lawmakers on the Senate Banking Committee sounded off against bipartisan legislation to overhaul the mortgage finance system on Thursday, opposition that likely all but ruins the bill's chances of making it to the chamber floor this year.

Under pressure from the Federal Deposit Insurance Corp. to increase its capital levels, Doral Financial (DRL) is selling its health care lending division to Triumph Bancorp in Dallas.