PayThink

How would the largest financial institutions fare during various future economic conditions? The Federal Reserve Board has released three scenarios the 19 big banks should use in preparing for their annual stress tests required by Dodd-Frank.

If regulators continue to sting banks with overzealous enforcement actions and ill-conceived policies, they, like the scorpion in Aesop's fable, could find themselves up the creek without a frog or paddle.

Would the orderly liquidation authority in Title II of the Dodd-Frank Act work as intended in a megabank failure? The Clearing House Association staged a simulation to war-game that question and found it did.

The Financial Stability Oversight Council is looking at three possible reforms to the money market mutual fund industry, building on recommendations from SEC Chairman Mary Schapiro.

Dodd-Frank requires the CFPB to encourage financial innovation. The agency's Project Catalyst will colloborate with three alternative companies to gain a better understanding of how to support start-up financial players.

Sheila Bair may advocate a lifelong commitment for examiners, but given existing rules, the fears of potential conflicts of interest should be more hypothetical than real.

Central banks are operating under an additional mandate beyond that of setting monetary policy: to regulate the largest, systemically important institutions. Here are five principles for doing that job well.

The election is over. Dodd-Frank is here to stay. It's time for bankers and regulators to get on with compliance and implementation, writes Editor-at-Large Barbara Rehm. She'd like to see an appointment for the director of the Office of Financial Research, stronger bank boards and leeway for examiners to go with their guts.

Fraudsters are increasingly preying on the default servicing end of the mortgage lifecycle, where traditional detection methods have not been deployed. Fortunately, there are new ways to spot red flags.

The Durbin Amendment has made debit card transactions more transparent, increased marketplace competitiveness and reduced prices. Now Congress needs to focus on credit cards.