Industry giant Washington Mutual, Seattle, is planning to tap European capital markets by launching the first covered bond program collateralized by U.S. residential mortgage collateral -- marking a "significant departure" from WaMu's traditional funding sources such as the Federal Home Loan Bank system, according to Standard & Poor's.WaMu said it expects the pricing of the bonds in its 20 billion euro (about $25.6 million) maximum program to be competitive with other funding sources and to "mirror" the FHLBank system's advances, according to S&P credit analyst Todd Niemy. Given this and other advantages, the move may open the door for other U.S. banks to follow suit in the use of the bonds, which have existed in Europe for centuries but seen recent innovations (such as this one) that have renewed interest in them, Mr. Niemy said. Barclays Capital arranged the program and is slated to be a lead manager, along with ABN Amro and Deutsche Bank, S&P said. WaMu can be found online at http://www.wamu.com, and S&P can be found at http://www.standardandpoors.com.
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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.
9h 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.
July 11