The Federal Reserve Board has adopted a final rule that allows the continued limited inclusion of trust preferred securities in the Tier 1 capital of bank holding companies but subjects them to stricter quantitative limits."The Board's final rule limits restricted core capital elements to 25 percent of all core capital elements, net of goodwill less any associated deferred tax liability," the Fed reported. Different rules apply to companies the Fed considers to be "internationally active BHCs, defined as those with consolidated assets greater than $250 billion or on-balance-sheet foreign exposure greater than $10 billion." The rule also eliminates the requirement for the securities to include a call option and clarifies standards for the junior subordinated debt underlying trust preferred securities eligible for Tier 1 treatment. The final rule provides a five-year transition period, ending March 31, 2009, for the application of the quantitative limits. A number of real estate finance market participants have issued trust preferred securities, notably real estate investment trusts, according to Citigroup. The Fed can be found on the Web at http://www.federalreserve.gov.
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Doxo plans to fight the FTC complaint, which focuses broadly on consumer finance, but there are signs of confusion about the company's role in mortgages too.
April 25 -
Members of the LGBTQ community were most likely to have experienced housing bias, according to a Zillow survey, which also found many people don't recognize how fair lending laws could help.
April 25 -
Senior executives making over $151,000 would still be subject to such clauses should the rule go into effect this year.
April 25 -
Christopher J. Gallo and his aide, Mehmet A. Elmas, allegedly withheld information in mortgage applications, hiding that borrowers were purchasing second home properties.
April 25 -
Mortgage rates rose 7 basis points this week, Freddie Mac said, and more increases are likely following a weaker than expected gross domestic product report.
April 25 -
Independent mortgage bankers lost the most money ever on every loan originated last year due to higher rates and lower volumes, an industry trade group said.
April 25