Capital requirements

Fed nears decision on continued easing of bank capital rule


Chair Jerome Powell told a congressional panel that the Federal Reserve is weighing whether to extend temporary relief from the “supplementary leverage ratio” — meant to help banks lend more during the pandemic — beyond March 31.


Fed extends dividend restrictions after stress test results


The Federal Reserve's “mid-cycle” assessment — conducted in light of the uncertainty posed by COVID-19 — showed that several banks would maintain just the bare minimum level of capital under hypothetical scenarios.


Bank CEOs more upbeat about 2021 as vaccines emerge


Executives from U.S. banks continue to play down near-term expectations, but they say customers are growing more confident ahead of the rollout of coronavirus vaccines, and that key commercial lending segments could drive an economic rebound.


Marzol, deputy to FHFA director, plans to retire


Adolfo Marzol came to the agency after a stint at HUD and a 30-year career in the mortgage industry. He will depart on Dec. 18.


Why is Fannie Mae abandoning a practice that shields it from risk?


Fannie hasn't completed any credit risk transfers to private investors since the second quarter. Some experts worry the decision — likely spurred by the company’s concerns about a recent capital regulation — could put the mortgage giant on unsteady footing.


Fed asking why banks aren't lending more


Vice Chairman of Supervision Randal Quarles said the agency wants to figure out why banks are holding on to capital that could be used more aggressively to respond to the pandemic.


FHA's capital buoyed by house price appreciation despite higher defaults


The Federal Housing Administration said in its annual actuarial report that capital reserve ratio on its mutual mortgage insurance fund increased to 6.10% in fiscal year 2020, up from 4.84% a year earlier.


House bill would let smaller banks exclude PPP loans from asset totals


The legislation would help institutions with less than $15 billion of assets avoid regulatory requirements resulting from participating in the small business relief program.


Fed's Kashkari says banks arguing against regulation ‘make stuff up’


Kashkari, who oversaw the 2008 bank bailouts as a then-Treasury official, has been outspoken in favor of higher capital requirements since he took over at the Minneapolis Fed in 2016.


Fed’s Quarles casts doubt on permanent capital relief for big banks


Regulators in the spring temporarily eased a key benchmark of balance-sheet strength to allow institutions to help customers navigate the pandemic, but Federal Reserve Vice Chairman Randal Quarles said it would be “premature” right now to suspend it for good.