Emily's Feed
Apr 25, 2013

U.S. council warns of threat of cyber attacks, market runs

WASHINGTON, April 25 (Reuters) – Regulators should guard
against runs on the shadow banking system and watch out for
cyber attacks on banks in coming months, the top U.S. financial
stability group said on Thursday.

The Financial Stability Oversight Council, which was set up
after the 2007-2009 crisis to watch for developing threats to
the financial system, also urged a reform of market benchmarks
after a global rate-rigging scandal hit the Libor interbank
rate.

Apr 18, 2013

Treasury official questions existence of big bank subsidy

NEW YORK (Reuters) – A Treasury Department official on Thursday rebuffed recent arguments that giant banks enjoy cheaper borrowing because markets think the government would bail them out in a crisis.

Mary Miller, Treasury’s undersecretary for domestic finance, said in prepared remarks for a speech at an economic conference in New York that it is not necessarily true that the biggest banks borrow more cheaply than smaller competitors can.

Apr 18, 2013

Financial advisers’ credentials mislead seniors, watchdog says

WASHINGTON, April 18 (Reuters) – The U.S. consumer watchdog
on Thursday called for tougher oversight of the credentials that
financial advisers use to show they are trained to work with
older Americans.

The Consumer Financial Protection Bureau said these
financial advisers use more than 50 different credentials, some
of which they can simply buy online.

Apr 15, 2013

Bank regulators gain ground against too-big-to-fail bailouts

WASHINGTON/NEW YORK (Reuters) – For the past year, a special team of U.S. bank regulators has been on a quiet mission to end the belief on Wall Street that large banks are “too big to fail.”

The team from the Federal Deposit Insurance Corp has hosted more than two dozen meetings with bond investors, analysts and other stakeholders to lay out in detail how a failing firm would be liquidated.

Apr 15, 2013

U.S. bank regulators gain ground against too-big-to-fail bailouts

WASHINGTON/NEW YORK, April 15 (Reuters) – For the past year,
a special team of U.S. bank regulators has been on a quiet
mission to end the belief on Wall Street that large banks are
“too big to fail.”

The team from the Federal Deposit Insurance Corp has hosted
more than two dozen meetings with bond investors, analysts and
other stakeholders to lay out in detail how a failing firm would
be liquidated.

Apr 11, 2013

Senate Democrats urge regulators to rethink use of consultants

WASHINGTON, April 11 (Reuters) – Senate Democrats urged
regulators to rethink the way they use outside consultants to
help fix problems at banks, after such consultants reaped some
$2 billion in fees for conducting botched reviews of past home
foreclosures.

Bank regulators could directly contract with the consultants
rather than leaving hiring decisions and oversight to the banks
themselves, Democratic Senator Jack Reed of Rhode Island
suggested at a Senate Banking subcommittee hearing on Thursday.

Apr 10, 2013

Lawmakers lambast Fed, others for hiding behind “trade secrets”

WASHINGTON (Reuters) – Two Democratic lawmakers lambasted federal regulators whom they accuse of using an obligation to protect bank “trade secrets” as an excuse not to hand over details of a botched review of home foreclosures.

“Breaking the law is not a corporate trade secret,” Senator Elizabeth Warren of Massachusetts and Representative Elijah Cummings of Maryland told the Federal Reserve and the Office of the Comptroller of the Currency in a letter on Wednesday.

Apr 10, 2013

US lawmakers lambast Fed, others for hiding behind ‘trade secrets’

WASHINGTON, April 10 (Reuters) – Two Democratic lawmakers
lambasted federal regulators whom they accuse of using an
obligation to protect bank “trade secrets” as an excuse not to
hand over details of a botched review of home foreclosures.

“Breaking the law is not a corporate trade secret,” Senator
Elizabeth Warren of Massachusetts and Representative Elijah
Cummings of Maryland told the Federal Reserve and the Office of
the Comptroller of the Currency in a letter on Wednesday.

Apr 5, 2013

Two senators want banks to hold more capital

WASHINGTON (Reuters) – The largest U.S. banks would have to hold far more capital under a proposal from two senators that would toss out international bank capital rules, according to draft legislation.

The draft bill, which was obtained by Reuters, calls for regulators to throw out the Basel III capital accord and instead require U.S. banks to hold an equity capital ratio of no less than 10 percent of total assets.

Apr 4, 2013

Mortgage insurers, U.S. regulator settle over alleged kickbacks

WASHINGTON, April 4 (Reuters) – Four mortgage insurers
agreed to pay about $15 million to settle claims that they paid
kickbacks to mortgage lenders in exchange for business, the U.S.
consumer watchdog said on Thursday.

The Consumer Financial Protection Bureau said the deals took
place over more than a decade leading up to the U.S. financial
crisis and may have boosted mortgage insurance costs for
consumers.