Regulatory & Compliance

WASHINGTON - Refuting the somewhat conventional wisdom among policymakers that some financial institutions are "too big to fail," two of the GOP's most prominent senators said it might not be in the country's interest to keep propping up failing banks.

For Treasury Secretary Timothy Geithner, who has practically been flying solo since taking office, help may soon be on the way.

Banks would have to pay a smaller premium to replenish the FDIC if Congress approves a bill by Senate Banking Committee Chairman Christopher Dodd to increase in the regulatory agency's line of credit at the Treasury Department.

Credit unions got a mixed back of goods when the House of Representatives passed a housing bill yesterday by a margin of 234-191.

Sen. Charles Schumer said today he plans to introduce legislation to lift the cap on member business loans that credit unions can make.

The 5300 Call Reports that credit unions file from now on will feature separate sections showing the impact on that credit union of their share of the payment to offset the costs of the NCUA's efforts to rescue the corporate credit unions.

Reduced payments as part of modified mortgages agreed to by credit unions and other loan servicers would stay in place for five years, according to the details of the Obama administration's housing assistance plan released today.

Federal Reserve Chairman Ben S. Bernanke told lawmakers today that the recently-passed spending package should help the troubled economy get back on its feet.