Law and regulation

Banks' defense against litigation over the sale of bad mortgage-backed securities to Fannie and Freddie hinges on the unseemly idea that it is unreasonable to assume that the world's largest banks would comply with the Securities Act of 1933.

Law enforcement officials have arrested 11 people suspected in a $200 million global credit card fraud operation, according to the Serious Organized Crime Agency, a unit of the British government.

In a final rule meant to limit the systemic effects of company failures, the Federal Deposit Insurance Corp. defined which financial firms are subject to Dodd-Frank resolutions.

The Securities and Exchange Commission's long-awaited proposal to reform the money market mutual fund industry has left observers wondering whether the agency compromised too much in an effort to get a plan out the door.

American International Group Chief Executive Officer Robert Benmosche said that living wills, designed to help unwind struggling financial firms, may lead to international disputes.

The fees Fannie and Freddie charge to cover credit risk on mortgages have been surging. Large segments of the market may soon be fair game for securitization without federal backing.

American Banker's Editor-at-Large Barbara Rehm explains why the next 18 months are critical to the financial industry and why federal regulators must finish the majority of Dodd-Frank provisions by the end of 2014.

Consumer loan demand continued to rise in recent weeks as bankers noted increases in car and new home purchases, according to a survey released Wednesday by the Federal Reserve Board.

Overseas-based banks won leeway in Dodd-Frank Act requirements to separate swaps trading from U.S. branches under a Federal Reserve policy released today.

Microsoft Corp. is now using the processor WorldPay's alternative payments program to increase adoption in China.

The Commodity Futures Trading Commission has sued U.S. Bank for its role in the Peregrine Financial collapse, alleging that it failed to properly handle the failed brokerage's customer accounts.

The House Oversight Committee is pressing the Federal Housing Administration for more details on its financial picture after learning that the insurer's unfunded liability could potentially be nearly nine times higher than it previously disclosed.

To survive, Bitcoin businesses will have to do more than "de-anonymize" their operations. They will also have to cope with the loss of the digital currency’s most fundamental characteristic: irrevocability.

The Consumer Financial Protection Bureau appears close to clamping down on fees on account overdrafts and payday loans. That's left some observers fearful low-income consumers will end up losing access to financial services many count on to make ends meet.

Insurers and brokerages have myriad reasons for setting up bank subsidiaries, including lower funding costs and a broader array of customer services. But increased regulatory scrutiny is prompting many to change their thinking. Here's a look at nonbanks that have or are looking to shed bank charters, citing the cost and time commitment related to complying with the Dodd-Frank Act and other obligations.

With the government cracking down on digital currency players such as Liberty Reserve and Mt. Gox, many ask whether it's a move to squash the development of virtual currencies and what action the government will take next.

The Financial Stability Oversight Council voted to identify an initial group of nonbank firms as potential threats to financial stability. Under the Dodd-Frank reform law, the FSOC has the responsibility to name several nonbank financial companies as systemically risky.

Even if Congress passes a comprehensive reform bill, many immigrants eligible for citizenship may never apply because they can't afford the application and legal fees. Banks should loan them the money, activists say.

Fidelity Southern (LION) in Atlanta is planning to raise $60 million in a public offering and use the proceeds, along with cash on hand, to exit the Treasury Department's Troubled Asset Relief Program.

Banks are increasingly competing with nonbanks to develop products for low-income and underserved customers. Here are the crucial questions they need to ask about regulation, technology and the competitive landscape.