Economy

General Electric's decision to sell most of its financial assets marks the most prominent victory in regulators' quest to incentivize breakups of large conglomerates. But it may turn out to be a one-off event.

Only 10 people in the bank were allowed to know what the project's goal was, and the other Apple Pay partners were known only by code names. But even though Apple was running the show pre-launch, U.S. Bank had a daunting task ahead of it once the restrictions lifted and Apple revealed its mobile wallet to the world.

JPMorgan chief Jamie Dimon tried to defend his bank's size and scope by suggesting that community banks are just as vulnerable in a crisis. But he succeeded only in proving that Wall Street firms will make the same mistakes all over again unless the government takes steps to disincentivize their risky behavior.

Idea Bank in Poland aims to win over new small-business customers with an Uber-like service that orders cars equipped with ATMs and cash deposit machines to drive to them.

Independent lenders rebut suggestions that they pose a greater risk to FHA (and hence taxpayers) than the large banks.

Bitreserve, a payments startup that aims to give consumers the speed, transparency and cost advantages of Bitcoin without the currency fluctuations, hired a former Barclays executive as its president and chief operating officer, a newly created position.

The Topeka FHLB's plan to allow participations in newly issued mortgage pools may benefit members institutions and the bank itself – and could soon be imitated by other Home Loan Banks.

The partnership with MAX Exchange is designed to enable community banks to sell their loans and get better pricing.

If the Financial Stability Oversight Council was hoping for any kind of consensus on whether and how it should regulate asset management companies, the feedback it has received on its request for comment is likely disappointing. Asset management companies, their representatives and public interest groups presented widely divergent visions about what, if anything, the council should do.

The shift in market composition is fueling concerns that if defaults rise, the Federal Housing Administration would have a harder time making lenders eat the losses on poorly underwritten loans.

DNB Financial in Downington, Pa., has formed a business banking services division.

Critics say the SEC uses too liberal a hand in granting waivers that allow firms that violate securities laws to be exempted from certain penalties. But the agency needs these waivers to adjust rules designed to be overly broad.

Europe is home to many innovative and disruptive banks, telcos and technology firms. Some of these are deploying mobile wallets that have the potential to span the entire continent.

IMGCAP(1)]

FICO and two data partners are testing a credit score based on alternative data that could help banks take smarter risks on borrowers with limited credit histories, but bankers' cost concerns and adherence to traditional methods present big hurdles.

As digital technology has reshaped the acquiring business, some of the industry's biggest names are making splashy investments in mobile payments and merchant marketing.

Wells Fargo's quality-control procedures will play a key role in a closely watched mortgage-fraud case that could go to trial this summer. Federal prosecutors are using the bank's internal reports to allege its executives knew about deficient loans.

The fight over the Dodd-Frank Act's $50 billion threshold will determine whether some banks get a respite from tougher rules, but it may also shape how the industry and lawmakers think about threats to the financial system more broadly.

At a time when many independent sales organizations feel threatened by disruptors like Square and Groupon, which sell directly to merchants, Verifone is relying more on ISOs to extend its offerings to smaller stores.

Modern payment terminals are streamlining the update process for merchants by enabling instant updates of their capabilities, and U.S. Bank is taking advantage of this technology to rapidly get new offerings to market.