PayThink

The announcement by Bank of America (BAC) of their plan to offer up to 200,000 struggling homeowners a new lease on life for their underwater mortgage through principal reduction at first glance seems like a major step forward in addressing a nearly 5-year old problem.

Louisiana has filed a RICO complaint against MERS and a host of megabanks, Bank of America included. Down the line, consumer advocates hope hard-nosed prosecutors can provide what Occupy may not be able to: justice for homeowners.

The banking industry suffered credit crises in the 1970s, 1980s, 1990s, and 2000s. An unavoidable conclusion is that its loan loss reserves were in all cases too small.

Bankers received an earful about pay from the public this year. But among the audience that matters most—their own shareholders—the feedback was overwhelmingly positive.

Currently there is a significant disparity between small privately held businesses' strong need for credit, which is unmet, and lender's enthusiastic willingness to give credit to large companies, few of which are seeking credit.

Over and over we heard at the Milken Institute Global Conference that there's a "clog in the transmission mechanism" of the economy.

I recently introduced the MasterCard Mobile Payments Readiness Index to a group of c-level bankers, and told them that one of our top-level findings is that it's the early days for mobile payments.

In the aftermath of the crisis, Congress keeps piling on rules to enforce, without proportionately increasing the number or competence of examiners. Is it any wonder overstretched supervisors never asked, "What if home prices stop going up?"

"We have touted ourselves for more than 75 years as being cooperative," observed Troy Smith. "But the one thing we have always been lousy at doing is being collaborative." And standing there at the intersection of Lousy and Overlooked right now are five words, according to Hall: "Everyday is Bank Transfer Day."

Most of us are extremely busy. Another program or project isn't exactly an exciting proposition, especially a project with an ambiguous name like Enterprise Risk Management (ERM), otherwise known to consultants as "billable hours" and to regulators as a "finding."