Mortgage Servicers Face Substantial Investments to Improve Procedures

By Sarah Borchersen-Keto, CCH Washington News Bureau, Contributing Author, the CCH Federal Banking Law Reporter, Dec. 1, 2010. The mortgage servicing industry will need to make “substantial” investments in order to improve its handling of distressed mortgages and foreclosures, Federal Reserve Board Governor Daniel Tarullo told Congress. At a Dec. 1, 2010, Senate Banking Committee […]

Wall Street Pay Practices Have Worsened, Report Finds

By Sarah Borchersen-Keto, CCH Washington News Bureau, Contributing Author, the CCH Federal Banking Law Reporter, Nov. 30, 2010. Pay practices at leading financial institutions have, on balance, worsened, despite enhanced federal oversight of Wall Street, according to a new report from the Council of Institutional Investors. The report considered practices at six firms: Bank of […]

No Going Back to Originate and Hold World of It's a Wonderful Life

By James Hamilton, J.D., LL.M., Principal Analyst, CCH Federal Securities Law Reporter; and CCH Derivatives Regulation Law Reporter; Co-author, Sarbanes-Oxley Manual: A Handbook for the Act and SEC Rules, Nov. 30, 2010. Referencing the holiday movie It’s A Wonderful Live, Commodity Futures Trading Commission Chairman Gary Gensler said that in passing the Dodd-Frank Wall Street […]

Bank Earnings Boosted by Lower Loan Loss Provisions

By Sarah Borchersen-Keto, CCH Washington News Bureau, Contributing Author, the CCH Federal Banking Law Reporter, Nov. 23, 2010. Lower loan loss provisions helped the banking sector report its fifth consecutive quarter of year-over-year improvement in earnings, the Federal Deposit Insurance Corp. said Nov. 23, 2010. Quarterly provisions for loan losses stood at $34.9 billion in […]

Bogus Mortgage Relief Schemes Targeted by FTC

By Sarah Borchersen-Keto, CCH Washington News Bureau, Contributing Author, the CCH Federal Banking Law Reporter, Nov. 19, 2010. The Federal Trade Commission is moving to stop bogus mortgage relief providers from taking millions of dollars in fees from homeowners without providing services in return. The FTC issued the Mortgage Assistance Relief Services (MARS) Rule Nov. […]

Oversight Panel Recommends New Bank Stress Tests

By Sarah Borchersen-Keto, CCH Washington News Bureau, Contributing Author, the CCH Federal Banking Law Reporter, Nov. 16, 2010. New stress tests should be conducted on major financial institutions and a sampling of smaller banks to gauge their ability to cope with a potential mortgage documentation-related crisis, the Congressional Oversight Panel recommends in its latest report. […]

Fed to Take “Conservative” Approach to Bank Dividend Policy

By Sarah Borchersen-Keto, CCH Washington News Bureau, Contributing Author, the CCH Federal Banking Law Reporter, Nov. 12, 2010. The Federal Reserve will take a “conservative” approach to anticipated requests from banks with high capital levels that wish to increase or resume dividend payments, Fed Governor Daniel Tarullo said Nov. 12, 2010. Speaking in Washington D.C., […]

Supreme Court Urged to Hold that Investment Advisers Can Be Liable for Misstatements

By James Hamilton, J.D., LL.M., Principal Analyst, CCH Federal Securities Law Reporter; and CCH Derivatives Regulation Law Reporter; Co-author, Sarbanes-Oxley Manual: A Handbook for the Act and SEC Rules, Nov. 12, 2010. An investment adviser to a family of funds could be primarily liable for alleged misleading statements in the funds’ prospectuses, maintained a Securities […]

Larger Banks to Pay Bigger Share of DIF Under FDIC Plan

By Sarah Borchersen-Keto, CCH Washington News Bureau, Contributing Author, the CCH Federal Banking Law Reporter, Nov. 9, 2010. The Federal Deposit Insurance Corp. has approved a proposal that would increase the proportion of fees paid into the Deposit Insurance Fund (DIF) by financial institutions with over $10 billion in assets. The proposal, which was mandated […]

Royce Challenges Bachus to Lead Financial Services Committee

By Sarah Borchersen-Keto, CCH Washington News Bureau, Contributing Author, the CCH Federal Banking Law Reporter, Nov. 4, 2010. Rep. Ed Royce, R-Calif., is challenging Rep. Spencer Bachus, R-Ala., the current ranking member of the House Financial Services Committee, to assume leadership of the panel when the new Congress reconvenes next year. Bachus, meanwhile, told CNBC […]