Law and regulation

A group of lawmakers is stepping up pressure on regulators to adopt a narrow exemption for small banks under the Volcker Rule to address concerns over the treatment of collateralized debt obligations backed by trust-preferred securities.

JPMorgan Chase and UBS are among banks that received federal requests for information about trades in mortgage-backed securities after the financial crisis, two people briefed on the matter said.

In his first major move as head of the agency that oversees Fannie Mae and Freddie Mac, ex-Rep. Mel Watt said Wednesday that he will delay a planned fee hike that would have raised the cost of most home loans backed by the government-sponsored enterprises.

Requiring HUD to take a stand on how it measures disparate impact may at least remove the anomaly whereby government unwittingly increases the chances a lender gets sued for discrimination.

The new year will bring an end to big regulatory settlements with banks, a sharp drop-off in the number of branches across the industry, increased use of biometric technology and a breakthrough in banks' use of big data. American Banker editors discuss these and other predictions for the year ahead in banking.

WASHINGTON — Former Federal Deposit Insurance Corp. Chairman Sheila Bair will serve on the board of the RAND Corp. starting in April, the nonprofit research organization announced Tuesday.

Here's who has the potential to shake up the debates over housing finance reform, "too big to fail," consumer regulation and other key banking issues in the new year.

American Express is being sued by a West Virginia woman for allegedly engaging in improper debt collection methods.

Bankers are spending so much time complying with new regulations that they're in danger of giving short shrift to actual risk management, says Ingmar Bromstrup, a Principal at The Boston Consulting Group.

A plan to inject $50 million into U.S. Century Bank has reportedly been called off, leaving the undercapitalized Doral, Fla., bank in limbo.

Manhattan U.S. Attorney Preet Bharara on Tuesday defended his decision not to prosecute JPMorgan Chase for allegedly facilitating Bernie Madoff's Ponzi scheme, calling a deferred-prosecution agreement and monetary penalty an "appropriate" resolution of the bank's alleged failings.

The Consumer Financial Protection Bureau could consider expanding exemptions for small lenders from its qualified mortgage rule after it goes into effect on Friday, according to Richard Cordray, the agency's director.

Despite the risks, lenders have calculated that certain loans that fall outside of QM are worth making and holding on their balance sheets.

Lawmakers are gearing up to intervene if regulators fail to resolve ongoing concerns about the treatment of collateralized debt obligations backed by trust-preferred securities under the Volcker Rule.

The Federal Reserve Board has terminated enforcement actions with Cornerstone Holding Co. in Fargo, N.D., and Commerce Bancshares in Catoosa, Okla.

JPMorgan Chase & Co. agreed to pay $1.7 billion to resolve U.S. claims that it played a role in facilitating Bernard Madoff's Ponzi scheme, the government said, resolving yet another legal obstacle facing the bank.

The finalization of the Volcker Rule signals that banks have reached "the height of the regulatory burden that has been placed on banks" since 2008, according to ConnectOne CEO Frank Sorrentino III. Now bankers just need to figure out how to fully comply with these new rules. Sorrentino, also a board member of the American Bankers Association, discusses his outlook for industry regulation in 2014.

The Senate voted 56 to 26 late Monday to confirm Janet Yellen as the next leader of the Federal Reserve Board.

Elmira Savings Bank (ESBK) in Elmira, N.Y., has redeemed the remaining $3.5 million of preferred stock issued to the Treasury Department through the Small Business Lending Fund.

The Target Corp. data breach just before the holiday shopping season triggered another round of rhetoric on the merits and shortcomings of chip-based cards. But the breach's direct effect on merchant EMV plans is largely up in the air.