Finance

Income-based repayment available starting July 1

July 1, 2009 -- Starting July 1, a new repayment option is available that makes monthly payments more affordable for Americans with heavy federal student loan burdens. The new Income-Based Repayment (IBR) plan protects borrowers by linking payments to income and family size. A related new program offers additional benefits to those working in public service jobs.

"We know many graduates are concerned about their ability to repay student loans in the current economic environment," said U.S. Secretary of Education Arne Duncan. "This new plan addresses the issue head on by giving them the option of a monthly payment tied to their income."    » read more »

Statement of David Arkush, Director, Public Citizen’s Congress Watch Division

June 30, 2009 -- For too long, financial regulators have been too cozy with the financial services industry that they were supposed to be overseeing. Moreover, not a single federal agency focuses primarily on consumer protection for credit products. Lenders have run amok, writing their own rules and creating a maze of unfair and predatory products that have harmed consumers and destabilized the economy.

The lack of oversight and regulation, along with Wall Street’s unchecked greed, drove this country into its current financial crisis. Americans deserve an agency that will put their financial well-being ahead of the short-term profits of a few Wall Street banks.    » read more »

155,000 more modification requests in process or under review Has prevented 565,000 foreclosures since 2007

NEW YORK, June 30, 2009 -- Chase announced today that it has approved 138,000 trial mortgage modifications for struggling homeowners since April 6, when it began processing trial modifications through President Obama's Making Home Affordable program.

Since 2007, Chase has continued to expand its comprehensive plan to keep families in their homes, helping prevent 565,000 foreclosures - including the 138,000 trial modifications -- for Chase, WaMu and EMC customers. Another 155,000 applications are in the review process.    » read more »

New national poll reveals economic abuse defined differently on Main Street than Wall Street

Jun. 23, 2009 NORTHBROOK, Ill. -- While 70 percent of Americans know people who are or have been victims of domestic violence, nearly the same percentage of Americans fail to see a connection between domestic violence and "economic abuse," according to a new national poll released by The Allstate Foundation.

Economic abuse is a tactic commonly used by abusers to control their victims' finances and prevent them from leaving a dangerous relationship. However, the survey also revealed nearly eight out of 10 Americans link economic abuse to Wall Street woes or irresponsible spending.    » read more »

Relative value strategies achieving strong performance as fundamentals return to markets, according to Mellon Capital Management

SAN FRANCISCO, June 23, 2009 — Relative value investment strategies, including those employed by quantitative funds, have produced strong returns since the end of December 2008, when the movements of various asset classes became much more correlated with key fundamental indicators such as corporate earnings and corporate credit spreads, according to an analysis by Mellon Capital Management Corporation, part of BNY Mellon Asset Management.    » read more »

London - 23 June 2009 - J.P. Morgan Worldwide Securities Services today announced it will provide fund accounting, OTC derivatives services and compliance reporting to Schroder Investment Management's UK range of retail funds.

J.P. Morgan already provides custody, accounting, OTC derivative compliance reporting, securities lending, trust & fiduciary, cash and foreign exchange services to Schroders, and services the company from Australia, Hong Kong, Luxembourg, the US and the UK.    » read more »

Washington, D.C., June 22, 2009 — The Securities and Exchange Commission today charged a New York-based broker-dealer and four individuals with securities fraud, alleging that they collectively raised billions of dollars from investors for Bernard L. Madoff's Ponzi scheme.    » read more »

Has Led To Indictment Of 8 Individuals And The Opening Of More Than 80 Cases - Unit Cracking Down On Flood Of Mortgage Fraud Cases Infecting Brooklyn

June 22, 2009 -- Today, U.S. Senator Charles E. Schumer and Kings County District Attorney Charles J. Hynes announced that the Kings County Mortgage Fraud and Real Estate Crimes Unit has led to the indictment of eight individuals and the opening of more than 80 cases. One such case involves Thomas Prusik-Parkin, the man accused of impersonating his deceased mother to collect Social Security benefits and rent subsidies.    » read more »

June 20, 2009 -- WASHINGTON – In his weekly address, President Barack Obama explained the necessity of his proposed Consumer Financial Protection Agency. It is clear that one of the major causes of the current economic crisis was a breakdown of oversight leading to widespread abuses in the financial world.

The Consumer Financial Protection Agency will have the sole job of looking out for the financial interests of ordinary Americans by banning unfair practices and enforcing the rules. This is the type of reform that will attack the causes of the current crisis and prevent further crises from taking place.

The audio and video will be available at 6:00am Saturday, June 20, 2009 at www.whitehouse.gov.

Prepared Remarks of President Barack Obama
Weekly Address    » read more »

Washington, D.C., June 19, 2009 — The Securities and Exchange Commission today charged two accountants who produced bogus financial statements and an Antiguan regulator who took bribes to look the other way as Robert Allen Stanford conducted an alleged $8 billion Ponzi scheme.

The SEC previously charged Stanford and his companies — Antiguan-based Stanford International Bank (SIB), Houston-based broker-dealer and investment adviser Stanford Group Company (SGC), and investment adviser Stanford Capital Management — as well as SIB chief financial officer James Davis and Stanford Financial Group chief investment officer Laura Pendergest-Holt with securities fraud in an enforcement action filed in federal court in Dallas on February 17.    » read more »

Stanford Financial Group Executives and Former Chairman of Antiguan Bank Regulator Indicted for Fraud and Obstruction; Charges Related to $7 Billion Dollar Scheme to Defraud Investors

June 19, 2009 -- Robert Allen Stanford, 59, chairman of the Houston-based Stanford Financial Group (SFG), three SFG executives and the former chief executive officer of the Antiguan bank regulatory agency have been indicted on fraud and obstruction charges related to a $7 billion scheme to defraud investors.    » read more »

LONDON, June 22 -- The Bank of New York Mellon has introduced Derivatives360, an integrated investment servicing lifecycle solution to help clients efficiently execute and manage derivatives transactions.

Derivatives360's flexible modular design allows clients to select some or all of the components offered by the new platform, allowing them to focus resources and management time on their core activities.

Clients are today looking to outsource derivative functions historically handled in-house for a number of reasons, including credit considerations, product complexity, the high investment costs associated with specialist systems, a shortage of high-calibre staff, stronger regulation and the wider industry drive towards standardisation.    » read more »

"A Step Forward for Rhode Islanders Caught in Credit Traps"

June 19, 2009 -- Washington, D.C. - President Obama's new plan to toughen federal regulation of financial products like mortgages, credit cards, and retirement accounts will help level the playing field for Rhode Islanders like Ryan Kamphuis, who saw his interest rate skyrocket when he paid one bill late after having been hospitalized for weeks, U.S. Senator Sheldon Whitehouse (D-RI) said today.    » read more »

Senators Advocate for an effective system of financial oversight

June 19, 2009 -- WASHINGTON -- Senate Homeland Security and Governmental Affairs Chairman Joe Lieberman, ID-Conn., and Ranking Member Susan Collins, R-Me., Friday sent a letter to Treasury Secretary Timothy Geithner expressing their support for a more effective system of financial oversight that will eliminate overlap, duplication, and increase accountability.

The Committee has held a series of hearings examining what led to last year's financial crisis and how to prevent a similar crisis from occurring in the future. The Senators expressed their support for restructuring the fragmented financial regulatory system, in addition to strengthening financial regulations, as the Administration has proposed.    » read more »

June 18, 2009 -- Citing a story in this morning’s Washington Post, Senator Chris Dodd (D-CT), Chairman of the Senate Committee on Banking, Housing, and Urban Affairs, today slammed financial industry groups who have expressed opposition to the Obama Administration’s proposal to create an independent consumer financial protection agency.

Dodd is an outspoken advocate for the creation of such an agency, and reiterated his strong support for the idea at today’s Banking Committee hearing where Treasury Secretary Timothy Geithner testified about the Administration’s proposal to modernize the framework of American financial regulation and supervision.    » read more »