Regulation

A downgrade of the U.S. government's credit rating is raising the question of whether some of the biggest banks may be next.

WASHINGTON — As the stock prices of the big banks cratered on Monday, particularly for Bank of America Corp., pundits and industry observers began worrying that a second financial crisis was in the offing, including the possibility of the failure of a large financial institution.

The downgrading of the government to double-A-plus was not only correct but overdue. If anything, S&P should have taken Uncle Sam down to double-A-minus, given the deadlock over revenues and spending.

Bill Gross, manager of the world's biggest bond mutual fund, said Standard & Poor's showed "spine" by cutting the U.S. debt rating, contradicting Warren Buffett and Legg Mason Inc.'s Bill Miller, who said the rating company erred.

PE firm Gores Group unveils its payments reader strategy for Hypercom's U.S. payments terminal business

JSC Federal Credit Union is the latest of a growing list of credit unions that have agreed to set aside funds to settle consumers’ claims the credit union violated provisions of the notification provisions of the Electronic Funds Transfer Act.

WASHINGTON - Two failures Friday evening cost the Federal Deposit Insurance Corp. an estimated $160 million.

A top official at rating firm Standard & Poor's said Friday the company's decision to downgrade U.S. government debt for the first time in 70 years was due in part to Washington's political paralysis surrounding raising the debt ceiling.

Standard & Poor's downgrade of the U.S. government's debt will not affect the risk-based capital requirements for U.S. banks, federal regulators said Friday evening.

Faced with an influx of money that could stream out as suddenly as it arrived, banks are being forced to maintain big pools of liquid assets, and potentially earn negative returns on deposits.