THE HOUSE COMMITTEE on Economic and Educational Opportunities approved a bill that would end the federal government's two-year experiment in direct student lending. Page 2
FROM NOW ON, the Federal Deposit Insurance Corp. will give banks and thrifts a lot less time to adjust to changes in insurance premiums. Page 2
BANKAMERICA has launched a fund family for novices, with investment horizons of 10, 20, and 30 years. "All they have to do is determine when they need the money," says BofA's Debra McGinty- Poteet. "We do the rest."
DESPITE THE RISKS, nearly a third of investment fund managers use derivatives to boost returns or reduce investment risk, a recent survey found.
UNION BANK and Bank of California, answering the biggest question about their planned merger, said it should save $90 million annually by 1998.
GEORGIA BANKERS reached a historic agreement almost certain to lead to the first reform in decades of the state's branching law, one of the most restrictive in the country.
FEW SMALL BANKS put much focus on the leasing business, but Chuck Ledford of Park Meridian Bank in Charlotte, N.C., says the holdouts are making a mistake. "Leasing is the wave of the future," he says. Page 6
CHEMICAL has tapped its consumer lending chief, Thomas Jacob, to ride herd over the massive mortgage business that will result from the bank's merger with Chase. Page 9
INDEPENDENT SERVICE organizations, which some fly-by-night operators gave a bad name, have made a comeback in the card processing business.
THOUGH MANY large banks have gotten out of processing for other financial institutions, Philadelphia-based CoreStates has expanded in the business. Page 14
FIRST NATIONAL Bank of Chicago is revamping its financial reporting operations through a seven-year technology services agreement with Computer Sciences Corp. Page 15
IN A FUNDAMENTAL change, investors and analysts are beginning to look at banks as growth stocks rather than cyclicals. Back page
SOUTHTRUST plans to issue three-and-a-half million shares next month in what would be the first issue of new stock by a major bank in over a year. Page 22