(Nick Bastian)

GAO Calls Out Bank Regulators For Mucking Up Foreclosure Reviews

Back in April 2011, in the wake of the robosigning scandal and in light of numerous instances of erroneous seizures, the Office of the Comptroller of the Currency and the Federal Reserve System ordered independent reviews of the foreclosure process at the country’s 14 largest mortgage servicers. Now, two years on, the Govt. Accountability Office is saying these regulators allowed the review process to become inconsistent and overly complex. [More]

(afagen)

Treasury Department: Yeah, About That $1 Trillion Platinum Coin? Not Gonna Happen

Although the idea of a trillion-dollar platinum coin swooping in to be deposited at the Federal Reserve and save us from hitting the debt ceiling is a nice one, it’s just not gonna happen, says the Treasury Department. Even if it did, the Federal Reserve says it wouldn’t accept the deposit anyway so there’s no point in talking about it. Thanks for spoiling the fun, guys. [More]

(FBI)

FBI: Baggage Handler Was Arrested Because That $20K In Uncirculated Bills Doesn’t Belong To him

One pretty blatant tip that a whole bunch of money isn’t yours? If the bills aren’t even in circulation yet. The FBI doesn’t believe that $20,000 worth of $100 bills belong to a US Airways baggage handler for that very reason and arrested him yesterday for swiping them from a shipment of money headed to the Federal Reserve in East Rutherford, N.J.  [More]

Fed: Unemployment Wouldn't Be So High If People Weren't So Darn Uncertain About Economy

Fed: Unemployment Wouldn't Be So High If People Weren't So Darn Uncertain About Economy

When I was a tiny little lad, my coach said the only thing keeping me from being a great soccer player was confidence… and my utter inability to kick the ball in anything resembling a straight line, but also my confidence. Now some number-crunchers at the Federal Reserve Bank of San Francisco say that the country’s unemployment rate would be a touch lower if we had all just been less uncertain about the economy.

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Fed Chair Bernanke: Smart Consumers Are Good For The Whole Economy

Fed Chair Bernanke: Smart Consumers Are Good For The Whole Economy

Too often when people talk about being a good consumer or being educated about financial matters, the big picture is ignored in favor of images of individual wealth and well-being. But Federal Reserve Chairman Ben “It rhymes with stanky” Bernanke says that it’s really in everyone’s best interest for us to be smart about what we do with our money.

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Fed Orders Review Of Thousands Of Morgan Stanley Foreclosures

Fed Orders Review Of Thousands Of Morgan Stanley Foreclosures

Yesterday, Morgan Stanley finally finished selling off its one remaining unit involved in servicing subprime mortgages. Today, the Federal Reserve gave Morgan Stanley some unwelcome news: It must review thousands of foreclosures processed by that now-former subsidiary.

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Bernanke: "Far Too Early To Declare Victory" Over Recession

Bernanke: "Far Too Early To Declare Victory" Over Recession

For the last two years, all upbeat statements about the economy have been followed with a huge “but,” and Federal Reserve Chairman Ben “Feel the” Bernanke isn’t going to buck that trend.

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Fed Approves Sale Of ING Direct To Capital One

In spite of reported concerns that Capital One’s proposed purchase of ING Direct would create yet another bank that was too big too fail, the Federal Reserve announced yesterday that it has signed off on the $9 billion deal.

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Federal Reserve On Verge Of Proposing New Capital Rules For Banks

Federal Reserve On Verge Of Proposing New Capital Rules For Banks

The Federal Reserve is expected to roll out new rules soon that could make big banks keep more capital reserves on hand, presumably leaving them with less money to lend. The idea is to make banks act more responsible with their stacks of chips and not need the government to bail them out.

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If Inflation Droops, Federal Reserve May Pump It Up

If Inflation Droops, Federal Reserve May Pump It Up

It’s tough for consumers to rationalize how inflation could be a good thing, especially if they haven’t received pay increases in years, but increasing costs are believed by many to be a sign of a healthy economy. That’s why Federal Reserve Chairman Ben S. Bernanke said Wednesday that the central bank will keep a close eye on inflation levels and may altar monetary policy to maintain the phenomenon if prices start to level off.

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Little Banks To Big Banks: Can You Please Stop Merging For A Little Bit?

Little Banks To Big Banks: Can You Please Stop Merging For A Little Bit?

With folks at the Federal Reserve already reportedly concerned that the sale of ING Direct to Capital One could create another too-big-to-fail bank, a group representing the nation’s smaller banks has raised its voice in concern.

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Banks Must Produce Living Wills To Tell Regulators How To Liquidate Them

Banks Must Produce Living Wills To Tell Regulators How To Liquidate Them

No one likes to imagine their own undoing, but that’s what the government has asked the largest American banks to do, mapping out liquidation plans in “living wills” that will help financial regulators pick apart their carcasses if they go under. The banks have until next year to submit their plans, which are mandated by the 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act.

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Report: Fed Concerned Capital One/ING Direct Merger Could Create Another Too-Big-To-Fail Bank

Report: Fed Concerned Capital One/ING Direct Merger Could Create Another Too-Big-To-Fail Bank

Back in July, Capital One announced a deal to purchase online bank ING Direct USA for around $9 billion. And even though Cap One tried hard to quell ING customers’ screams of “nooooooo,” the folks at the Federal Reserve are reportedly a bit worried that the deal might create another bank so big that its failure would have a disastrous impact on the economy.

[More]

Federal Reserve Says It Will Keep Interests Rates Low For 2
More Years

Federal Reserve Says It Will Keep Interests Rates Low For 2 More Years

In a move meant to ease uncertainty in the markets, the Federal Reserve pledged to keep interest rates low for the next two years. The Fed’s target rates, which banks use to set loan rates, have been close to zero since 2008, and previously said they would stay there for “an extended period.” The two-year designation is a sign that the Fed expects the economy to remain in troubled waters until at least 2013.

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Long-Awaited Fed Ruling Caps Swipe Fees At 21 Cents

Long-Awaited Fed Ruling Caps Swipe Fees At 21 Cents

The Federal Reserve unveiled its ruling today on the fees banks can charge merchants for processing debit cards at 21 cents a swipe. The cap is far less restrictive than the 12 cent ceiling set by the Dodd-Frank bill, but is still less than the current 44 cent average. It’s uncertain how this will affect the consumer.

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Fed: Economic Recovery Not Happening As Quickly As Expected

Fed: Economic Recovery Not Happening As Quickly As Expected

While some of us have managed to go back to our pre-bust ways of eating gold-dusted diamonds and speculating on real estate, the Federal Reserve said today that the overall economic recovery hasn’t moved as swiftly as it had previously expected.

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Banks Back In Business Of Lending Money, People Back To Borrowing

Banks Back In Business Of Lending Money, People Back To Borrowing

The New York Federal Reserve just issued its latest quarterly Household Debt & Credit report — which looks at the state of mortgages, home equity borrowing, auto loans and credit cars — and, for the first time in a few years, there are a number of not-so-bad things to say about things.

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Goldman Actually Borrowed From Fed Discount Window 5 Times, Contradicting Bank Claims

Goldman Actually Borrowed From Fed Discount Window 5 Times, Contradicting Bank Claims

Looks like Goldman has been a more frequent visitor to the Federal trough than they’ve been letting on. Despite testifying before Congress that they had only accessed the Federal Reserve’s discount window, which lets banks borrow cash from the government quickly and on favorable terms, just once, Bloomberg reports that recently released data shows they actually took at least five overnight loans from the Fed between September 2008 and 2010.

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