Policy & Regulation

Six Democrats whose support is crucial to a U.S. Senate plan to replace government-owned mortgage firms Fannie Mae and Freddie Mac have decided they won't support the proposal without major revisions, dimming its chances of becoming law this year.

The Federal Reserve is seeking input on a measure that would bar U.S. banks from acquisitions that push their share of all financial-company liabilities above a 10% threshold.

Federal Reserve Board Gov. Daniel Tarullo endorsed dropping Basel II's internal ratings-based approach to risk-weighted capital requirements and specifically carving out exemptions for community banks from certain rules.

The House Financial Services Committee grilled Treasury Secretary Jack Lew on a wide range of issues Thursday, raising concerns about regulatory oversight of the mortgage servicing industry and transparency at the Financial Stability Oversight Council.

SunTrust Banks (STI) is refusing to participate in a self-regulatory organization's inquiry into its online advertising practices, prompting the group to refer the Atlanta bank to the Consumer Financial Protection Bureau.

Top judges are jumping into the massive regulatory overhaul of the way that banks and third parties sue borrowers over unpaid bills. New York has proposed comprehensive reforms, while Maryland has modified its controversial "rocket dockets."

The government-sponsored enterprises remain profitable, but executives are raising fresh concerns about their ability to withstand a recession because of restrictions on raising capital.

Federal Reserve Board Chair Janet Yellen said Thursday that she has asked the White House to appoint a community banker to the central bank's board.

Bankers have complained that the federal government's crackdown on their relationships with payday lenders and other merchants has gone too far, but Justice officials said in a blog post that banks that abet fraudsters' use of the payment system should be punished.

Two of the largest consumer debt buyers on Thursday agreed to halt lawsuits against borrowers and pay fines to settle allegations they violated New York law in pursuing debtors.