Policy & Regulation

Amid huge regulatory pressure to strengthen anti-money-laundering controls, banks are grappling with a shortage of compliance talent.

Fannie said it will immediately begin accepting applications for fixed-rate 97% loan-to-value financing of borrowers with FICO scores as low as 620. Freddie, meanwhile, took a more cautious approach, delaying the start of the program, requiring credit counseling, and in some cases only allowing FICO scores as low as 660.

U.S. lawmakers may follow their European counterparts and regulate bankers' pay if reforms aimed at ending government bailouts for lenders stall, Federal Deposit Insurance Corporation Vice Chairman Thomas Hoenig said.

Fannie Mae and Freddie Mac have set terms for letting borrowers put down as little as 3% of a home's cost to get mortgages, a step criticized by Republican lawmakers as a return to risky lending.

Appointing a chief ethics officer can help banks maintain their integrity and foster public trust. Banks should also develop decision processes that explicitly address the question of whether they should do something, as opposed to whether they can.

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The Federal Housing Administration said no county in the nation will experience a decrease from this year's loan limits.

Yesterday the Financial Services Roundtable, along with the Retail Industry Leaders Association, sent a letter to Congress encouraging legislation to allow for better cooperation in combating cyberthreats.

Officials at Fannie Mae, Freddie Mac, and Ginnie Mae all heaped praise on nonbank mortgage lenders for stepping up to provide loans for home purchases at a time when many banks have scaled back.

A civil rights group is asking senators to more closely examine Mickey Barnett's work on payday loan issues before they vote on his reappointment to the U.S. Postal Service board of governors.