Liquidity regulations are costly. In a nutshell, they require banks to hold more liquid assets, like Treasury bills or deposits at the Fed, and fewer illiquid assets, like loans to… Continue Reading
BPI Staff
Over the past year, we have frequently heard the argument that the countercyclical capital buffer (CCyB)—an additional capital requirement that the Federal Reserve can impose on the largest banks—should be… Continue Reading
We read a lot about income inequality these days, and how extraordinary wealth is accumulating in the hands of very few people. While there have been numerous descriptions of why… Continue Reading
BPI Staff
The Washington Post’s recent article, How regulators, Republicans and big banks fought for a big increase in lucrative but risky corporate loans, paints a simplistic and inaccurate portrait of what… Continue Reading
Where to start with the inaccuracies and misimpressions in the recent BankThink piece by Thomas Hoenig and Bruce Summers, “Real-time-payments Monopoly Puts Financial System at Risk”? First, in an article… Continue Reading
BPI Staff
This week, CEOs from the nation’s largest banks will testify before Congress, and there is no doubt that there will be discussion of banks’ profits. Banks provide critically important products… Continue Reading
BPI Staff
Last week, The New York Times published an editorial that posed the question “Condemned to Repeat the History of Bank Failures?” and answered it “yes” because “…the lessons of the… Continue Reading
The topic of deposit growth has recently come front and center – interestingly, as both a business matter and a political matter. From a business perspective, the focus has been… Continue Reading
Originally published on Medium: https://medium.com/bank-policy-institute/machine-learning-and-consumer-banking-an-appropriate-role-for-regulation-f6ae7dc11c60 Machine learning has the potential to democratize access to credit. It can expand the pool of people qualified to obtain credit—most notably low- and moderate-income (LMI)… Continue Reading
