Law and regulation

Mortgage lender Household International Inc., which is now HSBC Finance Corp., must pay an estimated $2.46 billion in a class-action lawsuit claiming it violated federal securities laws.

Timothy Geithner hasn't been Treasury secretary for months, but he gets his name on the new $100 bills that went into circulation last week.

Federal Reserve Bank of Richmond President Jeffrey Lacker said bankruptcy without government support is "the first and most preferable option" in the event of a failure by a big financial institution.

Many payments companies see a conflict between innovation and regulation, with each side perceiving the other as out of touch with their needs, particularly when it comes to new technology.

Regulators are nearing completion of a landmark proposal that would institute a liquidity requirement for financial institutions designed to help buffer against a prolonged market crisis.

Similar to the changes already enacted in the mortgage industry, the Consumer Financial Protection Bureau is pushing policymakers for an overhaul of the disclosure requirements and modifications programs of private student loan servicers.

Even if these loans did harm consumers – doubtful as they were freely entered into – the harm would appear quite minor compared to that which has been repeatedly imposed upon the U.S. Native American population.

The U.S. Senate's leadership in resolving the government shutdown offers evidence that it’s also likely to lead the way in reforming mortgage giants Fannie Mae and Freddie Mac. That's good news for the many bankers who favor the bipartisan Corker-Warner bill over a House alternative authored by Texas Republican Jeb Hensarling.

Where possible, regulators should avoid establishing static, prescriptive criteria that do not give lenders the ability to consider compensating factors in meeting the financing needs of qualified borrowers.

The Consumer Financial Protection Bureau is urging policymakers to revamp the disclosure requirements and modification programs of private student loan servicers, similar to changes already enacted in the mortgage industry.

Valley Financial (VYFC) in Roanoke, Va., has exited the Troubled Asset Relief Program after issuing $11 million in subordinated debt to an unnamed accredited investor.

Fed watchers are sharply divided over whether Yellen will rely on Tarullo to set banking policy for the central bank or if she will marginalize him. But there's a bigger question that matters more.

An executive order in February called cyberthreats one of the most serious national security challenges our nation faces. Too bad most cybersecurity personnel were furloughed as part of the shutdown.

Lenders continued to face headwinds in the third quarter as consumer loan demand weakened slightly in some parts of the country while others saw a small boost, according to a Federal Reserve Board report released Wednesday.

New York Attorney General Eric Schneiderman has named veteran litigator Chad Johnson to head the state's investor-protection bureau.

Fraud against the elderly is expected to rise as the nation's baby boomers near retirement. Bankers and regulators are keen on trying to get ahead of the issue.

If the states are determined to reform force-placed insurance and the CFPB is determined to reform add-on products, they should propose rules and subject them to meaningful public notice and comment periods.

JPMorgan Chase & Co. (JPM) agreed to pay $100 million to resolve Commodity Futures Trading Commission claims that the company’s London traders last year deployed a reckless strategy in derivatives.

Sen. Heidi Heitkamp believes the financial industry "isn't just about numbers," and is concerned that the regulations coming out of the 2010 Dodd-Frank Act do not "take into consideration long-term relationship banking."

Billionaire investor Warren Buffett said JPMorgan Chase & Co. Chief Executive Officer Jamie Dimon will withstand litigation and legal probes that led his bank to take a $7.2 billion charge in the third quarter.