SMALL BANKS that don't have a satisfactory loan-to-deposit ratio can still earn a passing Community Reinvestment Act grade, regulators said in a nationally televised conference. Page 2

THE CHAIRMAN of the House Ways and Means Committee has introduced a bill that would require thrifts to pay back taxes only on those bad-debt reserves taken after 1987. Page 2


TRY THOUGH THEY DID, members of the Consumer Bankers Association couldn't escape Washington at their Phoenix conference this week. Page 4

REBOUNDING from recent woes in its risk management business, Bankers Trust posted net third-quarter earnings of $155 million - 8% less than a year earlier, but 70% more than in the second quarter.


BANKERS FIRST Corp. of Augusta, Ga., which is shopping itself around, racked up its most profitable quarter ever. Net income soared 19%, thanks to real estate operations. Page 6

IN-HOUSE CREDIT card operations aren't for the faint of heart - it takes size, economies of scale, lots of people, and lots of equipment. Still, 10 community banks have national programs and card portfolios that equal more than 10% of total loans. Page 6


FREDDIE MAC, whose credit standards have long helped define high- quality mortgages, is starting to tiptoe into the lower end of the market. Page 8

CONFORMING LOANS originated last year are suffering from unusually high rates of serious delinquency, making them the worst- performing vintage since 1991. Page 8


SOME BANKS HAVE TAKEN mutual fund disclosure to a new level by making the point in prospectuses that the funds they manage may invest in companies that borrow from the bank. Page 10

FIRST MARYLAND Bancorp is taking a cue from bigger banks, creating a separate institutional investment advisory firm. Page 10


INTUIT INC., jockeying for position in the electronic commerce market, said it would provide Internet access through its Quicken personal finance software.

Page 17


THE MARKET didn't change its mind about First Interstate on Thursday, but some analysts expressed doubts. Most of Wednesday's 33% price rise stuck, but Salomon Brothers, S.G. Warburg, Schroder Wertheim, and Hancock Institutional lowered their ratings, noting the risk of a price decline if Wells Fargo's bid falls through.

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FOUR BANK CARD specialists announced substantial third- quarter growth, with First USA leading the pack for the second consecutive period. Page 14

AMERICAN EXPRESS has broadened its successful frequent-traveler program, adding 30 partners offering a variety of retail goods and services. Page 15

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