Key insight: A retooled version of housing legislation passed the lower chamber by a wide bipartisan margin, including with active support from many Democrats for community bank measures. What’s at stake: As the bill goes back to the Senate, institutional investor and community bank measures are still in play. Forward look: The Senate can choose […]
House passes their version of housing legislation, 396 to 13 Read More »
WASHINGTON — Barney Frank, the former longtime Democratic congressman from Massachusetts who helped usher in the most consequential financial reform since the Great Depression, has died. He was 86. Processing Content Frank’s legendary career on Capitol Hill, representing large parts of the Boston suburbs for 32 years before retiring in 2012, was capped by his
Financial reformer and lawmaker Barney Frank dies at 86 Read More »
Wells Fargo will fund a new $100 million mortgage borrower assistance fund, following a federal judge’s final approval of a large settlement agreement. Processing Content U.S. District Judge Trina Thompson OK’ed the terms last week, which resolved some longstanding claims regarding the bank’s alleged discriminatory hiring and lending practices. The agreement also includes a $10
Judge OKs Wells Fargo’s $100 million mortgage borrower fund Read More »
Key takeaway: Federal Reserve Gov. Michael Barr said shrinking the central bank’s balance sheet could have unintended consequences, including increasing the Fed’s footprint in financial markets. Expert quote: “I think shrinking the balance sheet is the wrong objective, and many of the proposals to meet this objective would undermine bank resilience, impede money market functioning
Fed’s Barr warns of tradeoffs in shrinking balance sheet Read More »
Key insight: Large institutional investors would still be able to buy single-family homes under a House-drafted housing bill that dropped a ban that had been included in the Senate version of the bill. What’s at stake: Lawmakers argued that restricting big-money investors would inadvertently stifle new home building and construction. Forward look: Bankers remain wary
House reworks institutional investor ban in housing bill Read More »
Key insight: The Senate confirmed Kevin Warsh as Fed chair in a largely party-line 54 to 45 vote. What’s at stake: Warsh has pledged to keep monetary policy independent despite sustained pressure from President Donald Trump for lower interest rates. Forward look: Warsh takes the helm of the Fed as inflation metrics continue to climb,
Senate confirms Kevin Warsh as Federal Reserve chair Read More »
Frost Bank’s mortgage unit generated $595 million in outstanding loans in 2025, surpassing what its leaders had initially expected when the San Antonio-based bank re-entered home lending two years earlier. Processing Content “If you look at why we exited, we just weren’t able to deliver that product in a relationship way that we did everything
Why banks are betting on mortgages again Read More »
The chairman of the Federal Trade Commission sent a warning letter Friday to national mortgage services provider Mortgage Connect over employee contracts. Processing Content Andrew Ferguson, who has served as the agency’s commissioner since April 2024, urged the company to review its employment contracts, including any noncompete agreements or other restrictive covenants, to ensure they
FTC warns Mortgage Connect over noncompete agreements Read More »
Key takeaway: The Federal Reserve said market froth remains the leading risk to financial stability, consistent with its assessment in November. Expert quote: “Treasury market liquidity initially deteriorated in line with this heightened volatility, demonstrating the vulnerability of market liquidity during periods of acute stress.” —Federal Reserve Financial Stability Report. What’s at stake: The report comes
Fed flags overheated markets as top stability risk Read More »
Key insight: Insurance company borrowing from the Federal Home Loan banks hit a record $177.8 billion last year, a 10% jump from borrowing levels in 2024, which itself was a 13% increase over 2023. What’s at stake: Insurers are utilizing “spread investing” programs to secure low-cost cash advances from the system and reinvest into higher-yielding
Is private credit a new risk for the Federal Home Loan banks? Read More »