Policy & Regulation

The federal government is seeking to shut down a California-based operation described as a "shake-down debt-collection enterprise" that has collected more than $9.4 million in about two years - some of it from individuals who owed nothing.

Illinois Attorney General Lisa Madigan's office filed lawsuits against three companies based in the state for alleging committing debt settlement and mortgage rescue fraud.

Banks that rely on old-fashioned credit risk models or credit ratings to calculate risk-based capital reserves will suffer when Basel III becomes adopted in the U.S., Moody's head of quant credit research says.

The watchdog agency said allowing member banks to choose some board members at the 12 Federal Reserve Banks can create the appearance of conflict of interest, and recommended the central bank take greater precautions.

This is a particularly tough period for regulators and for bankers. We are still in a tenuous recovery from the 2008 financial shock and are living in the midst of a weak, indeed, anemic economy. Most banks have forgone profits for balance-sheet repair, as they should, with success: U.S. balance sheets are stronger today than before the financial crisis in 2008.

A federal judge has ruled the massive $8.5 billion settlement between Bank of America and several important investors who lost billions on mortgage-backed securities will be heard in federal court.

Bank of America Corp., once the nation's largest residential mortgage lender, has dropped to third place, defeating the original purpose of its ill-fated takeover of Countrywide Financial Corp.

Regulators are keeping a close eye on how smaller banks handle commercial lending and regulatory changes stemming from the Dodd-Frank Act, officials from various agencies told attendees at the Risk Management Association's annual conference.

Following growing protests from small merchants against credit card companies, South Korea’s major card networks announced Oct. 17 that they would cut the interchange fees they collect from such merchants, confirms an official at the Credit Finance Association of Korea, which represents card companies, banks and insurers.

The Federal Reserve Board's Beige Book showed fewer loans to consumers as Americans focused largely on paying off their debt.