Thursday, May 10, 2012

Chinese banks given approval to expand in America

Welcome to the morning roundup. Here's a look at what's news in banking and finance this morning.

Chinese banks in America. Three state-owned Chinese banks were given the go-ahead by the Federal Reserve to expand in the U.S. on Wednesday, a move the Wall Street Journal calls a "landmark step" for the regulators. More immediately, the approvals will give Chinese companies operating overseas easier access to financing in their country's currency, but it could allow Chinese banks to acquire U.S. banks.

CEO ego. Bank CEOs have pushed against splitting the board chairman and chief executive role because of ego, Royal Bank of Canada CEO Gordon Nixon says, according to Bloomberg. For the record, his bank does have divided roles, as do Bank of America and Citigroup.

Florida foreclosures. The Florida Supreme Court is considering a case that will decide whether lenders who started foreclosure proceedings with incorrect or fraudulent documents will be able to withdraw the cases and refile them later, Reuters reports. If the decision, which could take eight months, goes against the banks, it could mean the lenders could not foreclose on tens of thousands of homes.

Fewer mortgage fees. New rules from the Consumer Financial Protection Bureau could mean that lenders would not be able to levy origination fees on new mortgages, The New York Times reports. They could also mean that lenders would be forced to offer a loan without the typical points associated, making it easier to compare offers.


krusshall said...

So do we go ahead and hand over the deed to America now?