Regulation

The Financial Stability Board's "total loss-absorbing capacity" proposal would require big banks to hold a minimum amount of capital and debt instruments to be used to shoulder the costs of a failure.

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WASHINGTON — Policymakers should consider changing rules that limit the amount of debt that holding companies can carry in order to exempt more community banks from the restrictions, a senior Federal Reserve Board official said Friday.

Regulators' patience is running thin for banks that continue to overindulge in leveraged loans despite repeated warnings from the agencies over the past two years.

The U.S. Postal Service's inspector general said Friday that it is seeking proposals from outside groups about possible postal banking services.

The state that forged a middle ground on payday lending serves as both a potential model and a warning sign for the Consumer Financial Protection Bureau.

Borrowers must have other factors such as housing counseling, stronger credit histories, or lower debt to income ratios to qualify for new low-down-payment loans, said FHFA Director Mel Watt.

Bank regulators said Friday they are going to ramp up reviews of leveraged lending after an annual exam found such loans are still a crux of criticized assets among large commercial credits shared by lenders.

A recap of the informed opinions (and the discussions they generated) on BankThink this week.

The Financial Stability Board released its updated list of globally significant banks subject to higher capital charges on Thursday, detailing what surcharge institutions will face.