Law and regulation

A major investor in insurance giant American International Group is calling on the company to break itself up into three companies to get out from under its designation as one of only four systemically risky nonbanks.

Executives at small banks and credit unions told the Senate Banking Committee about horror stories of technical glitches, vendor delays and overworked appraisers, while expressing an interest in having more time to comply with new mortgage rules.

The banking industry largely praised the passage of a major Senate cybersecurity bill Tuesday night, but concerns are mounting about the inclusion of eleventh-hour language that could prompt new rules for financial institutions.

Goldman Sachs agreed to pay a $50 million fine and accepted a three-year ban on some advisory work in New York as part of a settlement with the state's financial regulator over the leak of Federal Reserve documents.

Sen. Elizabeth Warren, the founder of the Consumer Financial Protection Bureau, appeared alongside Director Richard Cordray on Wednesday during a rare joint appearance to discuss politics, financial products, and breaking up the big banks.

The Senate approved a key cybersecurity bill Tuesday after several days of debate on the chamber floor — and several years of lobbying by business groups, including bankers.

Sure, the U.S. government recently handed down strong new rules designed to protect consumers from unwanted robo-calls. But maybe some robo-calls aren't so bad. Like debt-collection calls in cases where the debt happens to be backed by Uncle Sam.

Department of Housing and Urban Development staff are working on a revision to the agency's condo rule and "we anticipate a rulemaking process," the HUD Secretary Julian Castro said this week.

The Department of Education on Tuesday finalized a set of rules that will restrict certain banking practices for federal student loan servicers.

The Senate approved a key cybersecurity bill Tuesday after several days of debate on the chamber floor — and several years of lobbying by business groups, including bankers.

Several large banks have already embraced standards released Tuesday by a consumer advocacy group laying out how institutions can offer safe, entry-level financial services.

Rep. Paul Ryan’s expected election as House Speaker this week may ultimately prove a boon for the banking industry — especially for critics of the Dodd-Frank Act and the current mortgage finance system.

First Northern Community Bancorp in Dixon, Calif., has exited the Small Business Lending Fund.

The Democratic candidate insists “too-big-to-fail” banks are bigger than they were during the crisis, but their true sizes are masked by off-balance sheet reporting.

Federal Reserve Chair Janet Yellen is scheduled to testify before the House Financial Services Committee next week on the central bank’s regulatory activities.

PricewaterhouseCoopers has hired a former FBI deputy director to lead a new consulting group to address financial crime issues.

First Horizon National Corp. in Memphis expects to be fined up to $11.5 million by federal arbitration panel, in a dispute over its sale of preferred-term securities to First United Corp. in Oakland, Md.

Banks should be prepared for the potential that an investor with a growing stake does not have the institution’s interests at heart.

New York’s attorney general called on more than 90 banks including units of Toronto-Dominion Bank and HSBC Holdings to revamp customer screening procedures to give poor people better access to financial services.

The financial condition of the Federal Housing Administration’s mortgage insurance fund has improved “significantly” over the past year, Department of Housing and Urban Development Secretary Julian Castro predicted late Monday.