OCC
By Ryan Schuette | 05/14/2012
Three federal regulatory agencies finalized stress-testing guidance Monday for financial institutions with total assets worth more than $10 billion. The Federal Reserve, FDIC, and Office of the Comptroller of the Currency released the guidance after receiving 17 comment letters from banks, financial advisory firms, and trade groups. The agencies stressed the importance of capital and liquidity, saying that systemically important financial institutions should apply stress tests to these areas on a regular basis as the rule moves forward.
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By Ryan Schuette | 05/07/2012
Federal regulators shuttered a Florida bank Friday, raising the national bank failure tally so far this year to 23. The Office of the Comptroller of the Currency closed the North Lauderdale-based Security Bank, National Association, and appointed the FDIC receiver. The financial institution went under with $101 million in total assets and $99.1 million in total deposits. The costs to the agency’s Deposit Insurance Fund totaled $10.8 million, a fact the FDIC said marked the least costly resolution for it this year.
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By Ryan Schuette | 04/30/2012
Five banks went under Friday, lifting the national tally for the year to 22, even while bank failures continue to slow nationally in contrast with the rate of closure for financial institutions in recent years. The failed banks included two in Maryland, plus others in California, Minnesota, and South Carolina. The cost to the FDIC’s Deposit Insurance Fund: $272.6 million. This is the first time for five banks to close in a single weekend since April last year. Despite the uptick, FDIC spokespeople continue to consider 2010 the "high-water mark" for bank failures nationally.
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By Ryan Schuette | 04/23/2012
Regulators closed a bank in New Jersey Friday, raising the national tally this year to 16 as bank failures continue to crawl at a glacial pace. The Office of the Comptroller of the Currency shuttered Fort Lee-based Fort Lee Federal Savings Bank, appointing the FDIC receiver. The bank closed with $51.9 million in total assets and $50.7 million in total deposits. Astoria, New York-based Alma Bank signed off on a purchase-and-assumption agreement with the FDIC, buying $15.7 million in total assets and assuming virtually all of the deposits.
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By Ryan Schuette | 04/09/2012
An old hand from the banking regulatory community took office Monday as the nation’s newest comptroller of the currency. The Senate confirmed Thomas Curry to helm the Office of the Comptroller of the Currency in March. President Barack Obama first nominated Curry, an FDIC director, last year. He then served as chairman of the agency’s assessment appeals and case review committees. His record of service includes stints as first deputy commissioner and assistant general counsel in the Massachusetts banks division.
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By Ryan Schuette | 02/10/2012
State and federal regulators closed banks in Indiana and Illinois Friday, raising the national tally for failures to nine for 2012. Shelbyville, Indiana-based SCB Bank fell dark with about $182.6 million in total assets and $171.6 million in total deposits. The Office of the Comptroller of the Currency closed the institution and appointed the FDIC to carry out responsibilities as receiver. The OCC also closed Charter National Bank and Trust in Hoffman Estates, Illinois. The bank went under with $93.9 million in total assets and $89.5 million in total deposits.
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By Ryan Schuette | 02/09/2012
More than a year's worth of rumors, negotiations, and reversals concluded Thursday with a $26-billion mega-settlement between government officials and the nation’s five largest mortgage servicers. The size and scope of the settlement makes it the largest endeavor by state and federal officials in U.S. history. Federal officials and 49 state attorneys general closed a deal with Ally Financial Corp., Bank of America, Citigroup, JPMorgan Chase, and Wells Fargo that supplies homeowners in distress with new relief and establishes new servicing standards.
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By Ryan Schuette | 01/24/2012
An awkward and slightly tense air greeted Consumer Financial Protection Bureau director Richard Cordray at his first congressional hearing Tuesday, where the new appointee cast his agency as one that would strive to reduce duplication and increase transparency. Although careful in their approach to the new director, Republican committee members frequently cited their concerns about federal overreach, the constitutionality of his recess appointment, and interests for transparency. The CFPB can now supervise nonbank financial entities.
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By Ryan Schuette | 01/23/2012
Three new banks went under Friday, marking the first for 2012 since state and federal regulators closed 92 financial institutions last year. State regulators in Florida and Georgia shuttered Central Florida State Bank and The First State Bank in Belleview and Stockbridge, respectively. The Office of the Comptroller of the Currency closed American Eagle Savings Bank in Boothwyn, Pennsylvania. The latest bank failures mark the first three for 2012. Last year saw 92 closures nationally, while 2010 bore witness to 157 bank failures.
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By Ryan Schuette | 01/18/2012
Witnesses testifying before the House Financial Services Committee Wednesday warned lawmakers that the controversial Volcker Rule could tighten bank liquidity and make U.S. financial institutions less competitive with banks overseas. Once finalized by regulators, the rule – unless modified or repealed by lawmakers – will enact a provision under the Dodd-Frank Act that prohibits U.S. banks from engaging in short-term proprietary trading practices. Douglas Elliott, a fellow with the Brookings Institution, called for an outright repeal of the Volcker Rule.
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