Monthly Archives: September 2009

Vanilla Option, Extra Scoop

Posted on September 29, 2009 by

Interfluidity is back (and stay back!) with a post about the vanilla option, which is highly recommended. I want to expand on two points he brings up. Commoditization Vanilla products would turn basic financial services into a commodity business, and … Continue reading →

Posted in Uncategorized | 10 Comments

Consumer Protection at the Fed: July, 2000

Posted on September 27, 2009 by

Let’s look at the transcript from “Morning Session of Public Hearing on Home Equity Lending, July 27, 2000″, moderated by Glenn Loney, the Deputy Director of the Division of Consumer and Community Affairs, and one of the four signers of … Continue reading →

Posted in Uncategorized | Tagged | 1 Comment

Consumer Protection At The Fed: Jan, 1998

Posted on September 27, 2009 by

A quick reminder to make sure and read the Washington Post’s Article on the Federal Reserve’s History over the past 15 years and the mortgage market. It’s great evidence that we had the regulation we needed to force non-bank lenders … Continue reading →

Posted in Uncategorized | Tagged | 1 Comment

With Feeling, Ban Prepayment Penalties At The Federal Level

Posted on September 25, 2009 by

So, no vanilla contract. And there’s more. Other Exemptions…the following businesses will not be subject to CFPA regulation for acting in their traditional capacities…Accountants and other businesses that perform tax preparation services…Real estate brokers and agents…Consumer reporting agencies… I’m working … Continue reading →

Posted in Ban Mortgage Prepayment Penalties at the Federal Level | 5 Comments

Vanilla Products, Eulogy

Posted on September 24, 2009 by

I was at a dinner party with some friends a few weeks ago, and the topic of credit cards came up. One friend talked about how she had just realized she had been paying for “credit card insurance.” What is … Continue reading →

Posted in Uncategorized | 14 Comments

Did Regulation Cause the Financial Crisis?

Posted on September 23, 2009 by

(Cross posted at The Atlantic Business Channel.) The role regulators played in the current financial crisis is a critical question as the Treasury Department gets set to take on bank regulation in the next few months. But standing in the … Continue reading →

Posted in Uncategorized | 25 Comments

Banker Compensation, Risk and Reward edition.

Posted on September 21, 2009 by

Tyler Cowen: It’s entirely fair to argue that these tests are not decisive. But still, the evidence isn’t there — at least not yet — that executive pay was in fact the big problem…Please leave your reading suggestions in the … Continue reading →

Posted in Uncategorized | 3 Comments

PPIP Gets Its Debut

Posted on September 18, 2009 by

So, like a movie monster that won’t die, PPIP is a go. Here’s The New York Times: Agency officials announced that they had reached a deal to sell $1.3 billion in mortgages from Franklin Bank, a Houston-based lender that failed … Continue reading →

Posted in Uncategorized | 14 Comments

Student Lending Reform

Posted on September 17, 2009 by

Credit where credit is due – kudos to the House for passing. Here’s Derek Thompson on the bill: The House of Representatives voted today to pass a bill that effectively kills private lenders in the student loan market. That might … Continue reading →

Posted in Uncategorized | 3 Comments

Paul Volcker, Still MIA

Posted on September 17, 2009 by

I want to point out something Matt Taibbi just wrote about the fact that Paul Volcker is still isolated from the Obama economics team (my underline): Paul Volcker, the former Federal Reserve chairman who’s an economic adviser to U.S. President … Continue reading →

Posted in Uncategorized | 1 Comment