Tag Archives: Federal Reserve

Regulators Increase Scrutiny of Wall Street Lending

Federal bank regulatory agencies are significantly increasing their scrutiny of Wall Street bank lending, moving from annual reviews to a system of monthly audits in a major effort to curtail aggressive underwriting practices. Until recently, the Federal Reserve, the Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency (OCC) have monitored … Continue Reading

Banks May Be Required to Increase Reserves

The Federal Reserve is expected to require the biggest U.S. banks to increase reserves in an effort to prevent the possibility of another financial crisis. Federal Reserve Governor Daniel K. Tarullo is scheduled to testify before the U.S. Senate Committee on Banking, Housing and Urban Affairs on Tuesday to introduce new rules, which would impose … Continue Reading

Main Street Cashes $3.1 Billion in Checks from Wall Street

With the mortgage crisis almost a decade in the rear-view mirror, some harmed homeowners are just now starting to see reparations for the transgressions of the country’s largest financial institutions. Beginning in January 2013, thirteen banks—including Bank of America, Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley and Wells Fargo—settled 2011 and 2012 actions instituted by … Continue Reading

Proposed new rule under Dodd-Frank Act

Key exemptions in the Dodd-Frank Act allowed lenders to securitize risky mortgages In 2011, in an effort designed to prevent a repeat of the often times shoddy underwriting practices that were pervasive during the years leading up to the current mortgage crisis, the Federal Deposit Insurance Corporation and the Federal Reserve proposed a rule under … Continue Reading

Questions Swirl About Implications of Bernanke Comments for Housing

The Fed indicates a reduction in its quantitative easing program While mortgage interest rates have repeatedly hit new lows over the past few years helping to spur a recovery in the housing sector, recent comments by Federal Reserve Chairman Bernanke could signal that those days are coming to an end. On June 19, Bernanke indicated that, under a … Continue Reading

Federal Reserve Makes Morgan Stanley Pay For Some Foreclosures

Consent Order Issued Morgan Stanley may have sold off its mortgage servicing unit, but that did not stop the Federal Reserve from holding the company accountable for robo-signing and other improper foreclosure proceedings which occurred during 2009 and 2010. The Federal Reserve announced on April 3rd that it had issued a consent order against Morgan Stanley, … Continue Reading
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