In its new budget, the Bush administration is holding firm on creating a new "world-class" regulator for Fannie Mae, Freddie Mac, and the Federal Home Loan Bank System, noting that a financial crisis at these agencies "could have consequences throughout the economy."According to the White House, "six out of ten" banks hold as assets "GSE debt in excess of 50 percent of their equity capital." The Bush administration calls the housing GSEs "highly leveraged," saying that Fannie, Freddie, and the FHLBank system had combined balance sheet liabilities of $2.3 trillion at year-end 2002, a 519% increase over 10 years. The White House also says Fannie's and Freddie's current regulator, the Department of Housing and Urban Development, needs "new administrative authority" to enforce affordable housing goals at the companies. "Current law does not permit the Secretary to impose timely and appropriate penalties for a GSE's failure to meet a goal," the White House says. The budget document maintains that private-sector residential lenders contribute more to affordable housing than the GSEs.
-
A federal judge in Texas dismissed the Consumer Financial Protection Bureau's medical debt rule and prohibited states from passing their own laws prohibiting medical debt on credit reports.
6h ago -
Dr. Mark Calabria takes on the additional role of chief statistician of the United States; retired Ally Bank executive Diane Morais has joined First Citizens Bancshares' board of directors; MainStreet Bank has promoted Alex Vari to chief financial officer; and more in this week's banking news roundup.
8h ago -
While refinances are behind the latest increases, the pace of purchase activity may be a stronger indicator of where the housing market sits.
11h ago -
The share of economists expecting a September rate reduction grew in the July Wolters Kluwer survey, but the October or later percentage also increased.
11h ago -
Rising home prices and softening sales offer a mixed view of a market that some say is shifting to favor buyers.
11h ago -
The notes are backed by home improvement installment loans originated by approved dealers in Foundation Finance Company's network.
11h ago