appropriate for the securities trading operations in our country to enjoy the taxpayer support implicit in fdic insured companies. so the first thing i would do is pull the securities businesses out of the banking system. i would in a sense, debank goldman sachs and morgan stanley. i would make sure we enforce our deposit ceiling caps. bringing those caps down to foster the formation of more mid-sized banks that really are better positioned in many cases to compete for the local businesses demands for loans and other services. >> you know virtually nobody in the finance industry is saying what you're saying. why do you think you're coming at this in a different way? >> 23 years of experience gives a bit of a vantage point and seeing the industry consolidate

of the 414 fdic banks that failed between january 2008 and december of 2011, 85% were community banks. the roughly 7,000 community banks that survived the crisis are now wrestly with its costly legacy the raft of new regulations crafted with big banks in mind that require big money and big manpower to implement. >> nothing but the truth so help you god. >> the problem was acknowledged by janet yellen. >> the fed should continue to limit the regulatory burden for institutions. >> in the meantime, many community banks are consolidating or getting gobbled up by bigger institutions. >> we are seeing a declining number of them. we aren't seeing new community banks starting up. so my concern is they're going to play a smaller and smaller role in the community. >> at least on film it's a happy ending. >> bingo we made it! >> patricia sabga, al jazeera new york. >> the fdic has not issued a single new charter in two years. that means businesses and individuals especially in underserved communities have fewer choices when it comes to where they do their banking. >>> well, it's the kalamazoo pr

of the 414 fdic insured banks that failed between january 2008 and december 2011, 85% were communityanks. the roughly 7,000 community banks that survived the crisis are wrestling with this costly legacy, the wrath of new regulations crafted with big banks in mind that require big money and big manpower to implement. >> nothing but the truth so help you god. >> the problem was acknowledged by federal reserve nominee janet yellen. >> writing new rules, the feds should continue to limit the regulatory burden for community banks and smaller institutions. >> reporter: in the many, many community banks are consolidating or getting gobbled up by bigger institutions. >> we are seeing a declining number of them. we're not seeing new community banks start up. my concern is that they're going play a smaller and smaller role in the economy. >> four, three, two, one. >> at least on film it's a happy ending. >> reporter: al jazeera, new york. >> well, the federal deposit insurance corporation has not issued a single new bank charter in two years. that campaigned with the current trend of bank cons

the fdic is not naming names. but it rhymes with "shmorgan" ford is recalling its escape crossover-utlity vehicle for the seventh time.the latest problems center around possible fuel and oil leaks that could cause fires. 13 fires have been reported.. none of the fires have caused injuries. in total nearly 175-thousand vehicles are a part of this recall. motorola is releasing its discount smartphone ahead of schedule..the moto g will arrive in stores about a month earlier than planned. motorola will sell the 179 dollar "contract free" smartphone starting next tuesday, just in time for christmas. still to come a stock thats boiling over with activity. plus...the big name companies that are adding workers in bulk...but you'll need to act fast. and next...why women are falling short with retirement savings. thats after this in the know message. a startling new report shows women are falling behind in retirement savings compared to men. aon hewett finds the average retirement balance for women is $59,000. for men it's

kind of go back into what's in receivership right now because, remember, they were taken over by the fdicthe claims for some of those liabilities. we understand there's jamie dimon, the ceo of jpmorgan, we understand a as of now they will not go back to the fdic and ask for those claims, that was one of the sticking points. that has been done. it looks like this thing is going to get done by the middle of next week. it's never done til it's done, but i'm hearing middle of next week, and we'll see. anyway -- liz: and they've come on to speak with you. >> jamie's come on, and i've asked tough questions. listen, i want to point this out, liz. we had a spirited discussion yesterday. a little bit of hyperbole. i do not want to beat up dan -- dick -- what's his name? liz: dick costolo. i said who he looked like. i will say there's a bigger, broader issue here, and it gets to what went on at the new york stock exchange yesterday in terms of how they managed the news. why it is important that -- is it important that reporters not be allowed to be managed? what happened yesterday was a big show, r

banking regulator said the loans may not be in compliance with consumer laws, and they'll join the fdicn taking a closer look at these types of loans. the banks say they'll review the laws but warn tighter regulation of these loans could force people to go use those shady lenders or pawnshops. i'm glad regulators taking a hard look at their practices. we'll keep you posted. i'm ali velshi. thank you for joining us. >>> hello, welcome to al jazeera america. i'm morgan radford in new york. the possibility of a deal on iran's nuclear program is on the agenda once again. secretary of state john kerry arrived in geneva a few hours ago and he's hoping to boost another round of talks between iran and six major world powers. negotiators have been working since wednesday to hammer out a deal acceptable to all sides. the talks were scheduled to end friday, but were extended amid hopes of a breakthrough. the wife of an 85-year-old californian man is pleading for the release of her husband. merrill newman is being detained in north k

banking regulator said the loans may not be in compliance with consumer laws, and they'll join the fdicn taking a closer look at these types of loans. the banks say they'll review the laws but warn tighter regulation of these loans could force people to go use those shady lenders or pawnshops. i'm glad regulators taking a hard look at their practices. we'll keep you posted. i'm ali velshi. thank you for joining us. >> hi, i'm lisa fletcher, and you're in the stream. could you live in just 100 square feet? joining us as we explore how living small is challenging the american dream. >> from mcmansion to tiny houses is a growing movement here in the u.s. where people are trading in big to live small. one, the tiny house movement has hundreds of members, and one community said it's a very charmer concept and they learn re

i looked at fdic data they only paid $11 billion in the last four quarters.'t add up. i don't believe this should be a cost that should be passed onto the consumer or really that you could even make that argument looking at the gross disparity in those numbers. >> sure. what's interesting, though is it puts into stark contrast exactly what the federal reserve's policy is aimed to do anyway. which is to kind of push people out of cash into riskier investments, rebalancing the portfolio, and ultimately kind of lifting the tide more broadly and hoping that helps the economy recover. this would be a more draconian form but still taking place. >> it's interesting thinking about janet yellen's confirmation hearing and so much focus on asset bubbles and risk inherent in some strategis, pushing consumers, pushing corporations into some of these riskier assets and what exactly happens there. kel i don't think this will end up happening for two reasons. in the minutes it said one of the big downsides of doing something like this it's a hard policy to actually explain t

in the last four quarters they only paid the fdic in $11 billion.em we're far off from the two sides canceling each other out. it would be a pr nightmare. one of the reasons they won't do this because they can't explain it to the public and i seem to agree. >> i'm going to pay. option here is i'm going to pay the bank to hold my savings? >> right. and i did a straw poll of my twitter followers if all banks did this and you had no option where would you take your money? >> the first reserve of sele posture pedic. >> let's turn to you. recently rebased from the san francisco area and there's a story in the papers this morning about some people in san francisco don't like the fact that it has now become the home for so many high- income tech workers, blaming them on -- blaming those people for soaring real estate prices, income disparities, and so forth. is that a vibe that you felt out there in san francisco? >> oh, absolutely. i mean there are people really ticked off in san francisco thats there's like $3 toast being sold now along the routes where

but the fdic says that's less than banks took in during the same period a year ago and the first time that's happened since the financial crisis in 2009. >>> an auto recall, ford recalling 161,000 brand-new ford escape suvs because an engine cylinder head can crack and leak oil and could cause a vehicle fire. this is ford's seventh recall this year for the 2013 escape. >>> how many americans are worried about their jobs and the economy? apparently, a lot. a new survey by "the washington post" shows that more than six in ten american workers are worried about losing their job, that's the highest level since the survey began in the 1970s. the newspaper says that anxiety is highest among low-incomes workers. >>> a lot of americans worried about losing their homes and in one california city plagued by f foreclosures, official haves a way to keep struggling homeowners in their homes by invoking the right on imminent domain to take over the properties. but will it work? jane wells takes a look. >> reporter: jeffrey wright walks through a bank-owned home in california, a city the mayor said

the fdic reports the number of "problem" community banks is down, and bank failures have slowed. credit unions are catching on to consumers' overdraft habits. as fewer consumers overdraw their accounts, unions are increasing fees to 28 dollars, up from 25 a few years ago. big banks still charge the most, at nearly 35 dollars. a job market milestone has been reached this year for the ladies. women--have recovered all jobs lost during the recession. however, men are still falling behind. the labor department reports-- a record 67.5 million women are working today. that's above the 67.4 who held jobs back in 2008.as for the men-- 69 million are currently working...but that is below the high of 70.9 set in june 2007. the reason is-- women tend to work in education, health, hospitality and retail-- sectors that have made a rebound or weathered the downturn. men-- dominate jobs in construction and manufacturing which were hit hardest by the recession. traders are expected to reap the benefits of this year's robust stock market rise. it's predicted traders, financial advisors and invest

as you know, we used to routinely launch sometimes hundreds of new community banks, i'm told by fdic there is not a single new community bank launched since 2010. regulatory compliance for institutions with no systemic risk to the economy is way overboard. i hope you will make an effort to diminish that burden. >> i promise to do so, senator. >> thank you. >> senator warren. >> thank you, mr. chairman. thank you, dr. yellen. there's been a lot of talk today about the fed's use of quantitative easing to help the economy get back on its feet, but the truth is if the regulators had done their jobs and reined in the banks we could have avoided the 2008 crisis all together. so i want to focus on the fed's regulatory and supervisory responsibilities to keep the big banks in check. i'm concerned that those responsibilities just aren't a top priority for the board of governors. earlier the fed and occ reached a settlement with servers that engaged in a long list of illegal foreclosure activities. the settlement was for over $9 billion, directly affected more than 4 million families, but the

our guidance on our narrow lane and issue, we spoke with fbi, the secret e, service, d.e.a., ice, fdic, occ irs, the federal reserve, ncua -- and -- ticate >> andd they all this sophisticated opinions? >> now, that i'll let them answer. but we did consult with -- including cfpb from the consumer fraud perspective. but you know, we've consulted with all of them as we can. this is a developing and innovative arena. we were lucky to be able to cover it under our pre-existingi ralss. as we talk to our counterparts abroad which was the last portion of your question there is great interest in federal s regulators abroad as they try ts get into what is this and what does this mean p. our german counterparts like usl had fairly flexible regulations in place that they could fit this within pre-existing regulations. so they've done so. and other countries thus far have been asking us to see whats we're doing and why. and finally i understand the financial action task force, ps which is the aml standard-setting body for the p international community plans to take up this topic. >> mr. cotney? >>

that we pay for the fdic insurance, it's a lot of money, seing up the accounts takes a lot of dough.is going out their front door to have me as a customer? >> about $200 per account. they wanto make money in some way. they hope that even if you're not going to have a lot of money in the account, they can sell you omething else. gerri: already according to some folks, there's something like 30 fees on each checking account. and i have to tell you that i kind of feel like they are getting what they need out of me. >> well, they used to gt a lot more out of you, like a lot of overdraft fees and things like that. a lot of things that the government has clamped down on what they are trying toodo is quietly parcel out customers that are profitable from the unprofitable ones. if yo don't have a minimum balance or your salary directly deposited, what they're trying to do is make sure that you have a lot of money there and that you will probably come into the door when you need to fix your roofr buy a new car or something like that. gerri: ben bernanke said that he might dialback on his 85 bi

the fdic, state attorneys general. five or six of them. every one is a democrat. they get money. don't ask me why. i just want to say this. in my opinion, even though mistakes were made, this is basically targeting jpmorgan, number one, knocking it down a peg and number two, jamie dimon who was very critical of obama regulations, particularly the dodd frank bill for several years. i think we have not forgiven jamie dimon on that. i'm sure mistakes were made but you know what, a lot of this mortgage-backed paper looked awfully good when housing was in a boom and it looked awfully bad when housing went bust. i don't think that's breaking the law. if there were infractions, tell us the metrics. to get this all across. get money but they couldn't get out of congress. give money to the attorneys general. organizers, community organizers are going to get money under the guise neighborhood works. they're going to get money to do what? i don't know. they're bleeding the banks because the banks have money and i think it's an injustice. i want to get some quick comments and a cnbc contribu

there are claims and bonds and all stuff where you can put claims in to the fdic.hey have afreed not to seek, not to seek, become a creditor to try to get money out of what is left of washington mutual. that was a key thing. other, they thought they had the authority under their agreement with the fdic that they crafted when they took over washington mutual in 2008 to seek some of that money. they have agreed not to go after that. that is the two main points. now here is the interesting thing we as journalists have to pay a lot of attention to and if you're a shareholder, own the stock, if you care about. they will agree to make some concession of wrongdoing. now from what i understand, from inside the bank that concession is not like we're guilty of fraud. it will be something a lot less, something, quote, unquote they can live with. depending on that language you can get an idea exactly how much money they will pay in private litigation. there will be share hold that's sue them. as soon as that language gets crafted, plaintiff attorneys or ambulance chasers, what

i'm told by the fdic, there's not a single new community bank launched since 2010.stemic risk to the economy is way overboard, and i hope you will make an effort to diminish that burden. >> i promise to do so, senator. >> thank you. >> senator warren. >> thank you, mr. chairman. thank you, dr. yellen. you know, there's been a lot of talk today about the fed's use of quantitative easing to try to help the economy get back on its feet. but the truth is if the regulators had done their jobs and reined in the banks, we wouldn't need to be talking about quantitative easing, because we could have avoided the 2008 crisis altogether. so i want to focus on the fed's regulatory and supervisory responsibilities to keep the big banks in check. now, i'm concerned that those responsibilities just aren't a top priority for the board of governors. earlier this year, the fed and the occ reached a settlement with 13 mortgage servicers that had engaged in a long list of illegal foreclosure activities. and the settlement was for over $9 billion. it directly affected more than 4 million

taken from the paycheck, don't have a 401(k), banks set up buyers for you, banks encourage that the fdic offer very, very low cost savings accounts for lower income people to have automatic and direct deposit because of automatic savings vehicles. i think there's things to do through leadership of responsible banks, through the ngo community, and then, you know, i wish corporate america, too, would look at the model, and there's a company called # -- called costco. they pay the ceo $250,000 a year. they have good wages for their workers. they give them health insurance, and they are quite profitable doing a good job for the shareholders. do you really need income disparities in what you pay the employees and top management, and, really, do you get -- don't you get more value and productivity by giving folks better wage and peace of mind with health care coverage? perhaps corporate america and the business schools could rethink how we think corporations are more productive, and that starts with paying employees better and giving them health insurance. >> thank you. thank you, a great conv

fdic, the cooperation of the federal reserve has been hard at out this ing authority. systemically r important firms will be increasing r stability. we want to make it far less pricey and if it happens, far costly. every financial panic has its own unique feature that depend historical context and the details of the institutional setting. done withn fisher has unusual skill throughout his career, one can, by stripping idiosyncratic aspects of individual crises, hope to elements. common in 1907, no one had heard of an asset-backed skufrt. single individual could bail out the banking system. the panic of 1907 and the panic were instances of the same phenomenon as i have discussed today. policy makers or to identify and isolate the factors behind crises allowing us to prevent crises respond ible and to effectively when not. thank you. >> thank you, ben. >> next speaker, stan fisher? to thank the imf for organizing this conference privilege ing me the to have a conference named in of me. and it's actually been a great practical lots of papers on lessons we've learned recen

and washington mutual it largely took over in the financial crisis in fdic receivership right now.at. again it inherited that stuff. then there is the stuff it did on its own. jpmorgan is a bank. they gave mortgages out. they did a few. they weren't a big player in this business but they did some, some portions, some, i don't know how to describe it. , they were involved in this packaging and selling of mortgage that is were put in mortgage-backed securities and maybe even packaging of those things. but it wasn't so big in that business but clearly issued mortgages that were not very good and put in bonds, those bonds, those deals, that, there will be a concession about what it did by itself. ashley: is there blood on the hand, as you would say? >> there will be some blood on the hands and we'll get to see how much. look at their concession what they did, that is the key. if they see something fairly significant, they're going to be lawsuits. tracy: that could hurt the stock. >> that could hurt the stock. that is why this becomes an investor story. what is the stock trading at now?

essentially speaking for all the regulators, the federal reserve, the fdic and others, said that more than 99% of american banks were highly capitalized in the highest of standards. it would have been very difficult to make any form of legislation that would have raised the capital requirements. and so the problem basically is if you are sitting there as a central banker knowing that you have just been through, from 1983 to 2005, 2006, eight period of extraordinary stability and the euphoria is starting to build, because it's not altogether crazy to believe that this long period of stability, that the next six months are going to be stable. it's not craziness. the problem unfortunately is what happens is the system will break down. it will not only break down but an unnecessary condition for when it breaks down is that nobody expects it to happen. there aren't awful lot of people who are out there saying you know we forecast -- with a forecast is what everybody forecast. we were in a bubble and it was going to break. i know of none but the thought september 15 of 2008 was the period.

up doesn't have a volcker rule, the fdic going over this way. i mean, i don't know how you operate in this environment and ever expect it to be normal. >> and the climate's bad. elizabeth wharton hasn't even spoken. how about that? was she on that twitter -- >> she was one of. people asking questions. >> when you're out in california -- >> you love that thing, don't you? >> people in california say do they know twitter? twitter is open season. it's like colgate. how could they think not to curate that twitter conversation at jpmorgan. i remain convinced you get the justice department out of the picture, you can value certainly. as long as justice is in, it's very hard. by the way, if you mention that maybe all the charges aren't that justified, that puts you immediately in the journalism jail. you're supposed to say every charge is justified. i think jpmorgan did many wrong things -- >> well, washington mutual and bear stearns. >> but carey killinger, ever hear of his name? >> no. >> i was saying i think washington mutual is going to go bankrupt

the fdic with the cooperation of the federal reserve has been hard at work fleshing out this authority. a credible resolution mechanism for system of important firms will be important for reducing uncertainty, enhancing market discipline, and reducing moral hazard. are continuing challenge is to make financial crises far less likely, and if they happen, far less costly. the task is complicated by the reality that every financial panic has its own unique features that depend on a particular historical context and the details of the institutional setting. but as stan fischer has done with unusual skill throughout his career, one can, by stripping away the idiosyncratic aspects of individual crises, hope to reveal the common elements. in 1907, no one had ever heard of an asset backed security, and a single private individuals could command the resources needed to bail out the banking system. and yet fundamentally the panic of 1907 and the panic of 2008 were instances of the same phenomenon, as i've discussed today. the challenge for policymakers is identified and isolated the common facto

>> for them, if they take in cash, they've got to pay insurance on it, fdic. thing called -- they have to pay for that. >> someone has to shine them off. >> the occasional teller. they have overhead. they're like, we would rather not take the cash. >> this is something the fed has foisted on them. >> this is something the fed is hinting at. because the fed knows what they're doing now, buying these bonds, it's done nothing. it's moved the needle none, zero. but i got a novel idea for the bank. how about lending that money? how about lending it out? >> they say they can't. you don't buy it. >> are you kidding me? we could -- we say, you know, loans right now, we put a sign right there, neil, we're making loan, we'd have a line from here down to times square. of course, listen, i understand the dodd/franks stuff and that's a legitimate beef but the banks have it pretty good. they get this money at almost zero from the fed. lend it out at a certain percentage to select customers. businesses come to them. this is ridiculous. we've got a serious quandary on our han

she, prior to joining the fdic was the dean's professor of financial regulatory policy for the isenbergool of management at the university of massachusetts amherst, and she's received numerous awards including the john f. kennedy profiles in courage award, she's twice been named as the second most powerful woman in the world by "forbes" magazine, and she was named by harvard magazine and the washington post magazine as one of seven of america's top leaders. so we will hear from sheila bair. ron has had two stints with national journal and with atlantic media. in between he was national affairs columnist and national political correspondent for the los angeles times and while there was twice a finalist for the pulitzer prize for his coverage of presidential elections. he is the steady hand behind all the editorial coverage across our company and writes often for both the national journal and the atlantic, has a weekly column in national journal and has covered lots of beats for us, most of them here in washington at the white house and as national politics correspondent and was west coas

adam: charlie talked about this because of fdic issues and settings up for bad things in the future. the nfl and far-flung nations there is a smaller network equipment company determined to beat the big boys like cisco who wire olympic venues. we're talking about extreme networks ceo chuck burger will be here to talk about expansion and sports and a fox business exclusive. adam: the government's health care website still plagued with problems. is the relationship between health insurance companies and the obama administration in jeopardy? we'll go to washington to find out next. ♪ this is the quicksilver cash back card from capital one. it's not the "fumbling around with rotating categories" card. it's not the etting blindsided by limits" card. it's the no-game-playing, no-earning-limit-having, deep-bomb-throwing, give-me-the-ball-and-i'll-take- it-to-the-house, cash back card. this is the quicksilver cash card from capital one. unlimited 1.5% cash back on every purchase, everywhere, every single day. so let me ask you... at's in your wallet? so let me ask you... stick with innovatio

the united states guarantees included fdic guarantee of bank debt, the treasury department of money market funds, and the private guarantees offered by stronger firms that acquired weaker ones. public and private captain injections strength, the balance sheet. finally the stress test that the federal reserve lead in the spring of 2009 and the publication of the stress test funding help restore confidence in the u.s. banking system. collectively these measures help end the acute phase of the financial crisises. the economic consequences are still with us. once the fire is out, the public turns to the question of how to better fireproof the system. here the context and the response is different between 107 and the recent crisis. as i mentioned following in 1907 crisis reform efforts lead to the founding of the federal reserve which was charged both with preventing panics, and with providing an elastic currency to smooth interest rate fluctuations. oversight of the banking system is being strang end by the financial oversight counsel of nonbank systemically important financial institutions fo

i was told by the fdic that there is not a single community bank that has been launched since 2010. the systemic risk to the economy is way overboard. i hope you will make an effort to diminish that burden. >> i promise to do so. >> senator warren? >> there's been a lot of talk today about the fed's use of quantitative easing to help the economy get on its feet. the truth is, if the regulators had done their jobs and reigned in the banks, we would not need to be talking about quantitative easing. we could've avoided the 2008 crisis altogether. i want to focus on the fed's regulatory responsibilities to keep the big banks and check. i am concerned that those responsibilities are just not a top priority for the board of governors. earlier this year, the fed reached a settlement with 13 mortgage south -- servicers in a long lease -- long list of illegal foreclosure activity. the settlement was for the sum of $9 million and directly affected more than 4 million families. they never voted on whether to accept the settlement. the fed has smart, hard-working staff, but the board of governo

the banks don't cover them, the banks aren't obligated to protect you against cyber theft and the fdicsures you against tank failure. connell: is a really interesting points you make including about the alarm bells if it is below 110 grand, you are not setting off the alarm bells. should they be opting for this but it is okay to keep it at a low rate? how should they decide how much insurance makes sense for them? >> whatever the average bank balance is is what they should be ensuring four. a maximum of $50,000. you really cannot afford to lose it. for many small businesses, money that can never get back. they don't have enough revenue stream if they had lost that money that they could recoup it quickly or i at all. connell: definitely one of them with a chance of going out of business if you are a victim of one of these attacks. good discussion, thank you very much for coming on. something we will follow up on. dagen: perfect timing for a competitor to tesla. tesla is having problems, couple of fires being investigated and now a challenger. connell: that is coming up here on "markets

two billion to credit unions and the fdic, a regulator. 4 billion to fannie mae and freddie mac.on to consumers. it will go to consumers in the form of loans. we'll wait to see about that. guys? jon: gerri willis from the fox business network. what a fine. thanks. jenna: there is new reports that the united states and afghan officials are closer than ever to some sort of a deal for our troops to stay in afghanistan after the 2014 withdrawal deadline. but there's a catch. afghan officials refuse to sign any deal apparently unless the president submits a lerach knowledging mistakes made by the united states in the war. it is important to remember of course that 2276 american servicemembers have been killed since the war there began. we never want to forget that. jessie jane duff is former marine gunnery sergeant. she serves on advisory committee for concerned veterans of america. jesse, president's advisors say there is no letter in the works, nothing of the sorts, this will not happen but read us into a little bit what is at stake here? what are the negotiations really about? >> i

the federal reserve, occ and fdic understand as does the cfpb that smart regulations need smart data. but we live in a world where more and more data about consumers is used by businesses and governmental like information security and data privacy must be safe guarded and encouraged by the burrabout you bureau's efforts to address these issues. earlier in year, the cfpb finalized rules to strengthen authori mortgage standards.earlier in y finalized rules to strengthen mortgage standards. these rules were well received, however, i remain interested in hearing from director cordray on how these will improve lending. i look forward to hearing your expectations for compliance with these rules in january especially for small lenders. finally, the committee's exploration of housing finance reform is well under way. as we move forward, i'm interested to hear about your thought on the enter as of your mortgage rules including qm with the new system. and any unintended consequences. with that, i turn to the ranking member. >> thank you, mr. chairman. today we will hear from director cordray on

fdic says the banking industry spends $36 billion down one-half billion or nearly 4% from a year ago.uted to the drop off. of rejecting the rival takeover offer, men's wear house has launched a one nap billion dollar bid to acquire joseph a. bank of $55 a share. last month they had a $48 per share offer. consumer confidence dropped. the index fell in november 70 and 72 and october. expected to head keep their earnings. that is the latest from the fox business network, giving you the power to prosper. tracy: breaking news. when to pull back government support for the housing market. we're hearing that home loans that fannie mae and freddie mac could buy. mortgage finance years will continue to purchase loans up to a maximum of $417,000 in most areas, and you're more expensive markets like los angeles and new york the camp will remain at 625,000. now, the limits were raised in 2008 to help keep the mortgage demand liquid, but those numbers will hold steady. tracy: homebuilder stocks getting a nice boost thanks to the september case show a report showing the biggest year-over-year gain i

the federal reserve, occ and fdic understand as does the cfpb that smart regulations need smart data. but we live in a world where more and more data about consumers is used by businesses and governmental like information security and data privacy must be safe guarded and encouraged by the burrabout you bureau's efforts to address these issues. earlier in year, the cfpb finalized rules to strengthen authori mortgage standards.earlier in y finalized rules to strengthen mortgage standards. these rules were well received, however, i remain interested in hearing from director cordray on how these will improve lending. i look forward to hearing your expectations for compliance with these rules in january especially for small lenders. finally, the committee's exploration of housing finance reform is well under way. as we move forward, i'm interested to hear about your thought on the enter as of your mortgage rules including qm with the new system. and any unintended consequences. with that, i turn to the ranking member. >> thank you, mr. chairman. today we will hear from director cordray on

we encourage banks at the fdic to offer these very, very low savings accounts for income people to haveomatic direct deposit an automatic savings vehicles. there are things we can do through leadership in responsible banks, to the ngo community. i wish corporate america would look at their model. there's a company called cosco, which a lot of you are familiar with. they keep their ceo $250,000 a year. they have good wages for workers, give them health benefits and they seem to be quite profitable in doing a good job for their shareholders. what you pay your employees than what you pay your top management and really, don't you get more value out of the project today by giving folks a better wages and peace of mind with health care coverage. or has corporate america and business schools could rethink how would make corporations more productive and maybe that stars with paid employees better. >> thank you. sheila bair, great conversation. [applause] i would also encourage everybody here and watching that we have extensive coverage through our partnership with allstate. all of the issues he

>> there are some legitimate issues about the fdic and what it is entitled to and what it has to guaranteebut basically we have already seen a $5 billion settlement, and we will probably see a settlement with the government. adam: whereabouts do have them in just a second. here he is. speak out this past july we filed a criminal indictment against for companies for engaging in insider trading that was substantial, pervasive and on a scale without presidents in the history of hedge funds. three months later we are here to announce a resolution that is matching in this magnitude. all of the charged sac companies have agreed to plead guilty, all have agreed to wind down and close outside investment businesses and all have agreed collectively to pay total fines and penalties in the record amount of $1.8 billion. today's agreements if approved would resolve the two cases brought by the government against as a c in july both the criminal indictment against the companies and separate civil forfeiture and money laundering action as well. both agreements were set this point lori: district court jud

leaders, and they view as i think the panelists do ritual currencies as akin to cash, so there is no fdic, there is not that level of protection, so i think it has to be viewed as high-risk, and i think the point that the other panelists made about the fact that consumer protections are part of a work in progress were certainly something that we'd to be very much aware of. >> ok. hearing istion, the asking members of our staff to tell me a little bit where did bitcoin come from? who are the creators? i am told that the protocol was developed either by maybe a programmer or by a group of programmers that go by the name toshi nakamoto? is that correct? ok. with all of the money and attention that has been given to bitcoin, it just seems strange to me that this individual or this group would choose to remain anonymous. what do we know about this person, what do we know about this group? doesn't matter that his or her or their identity remains a mystery? who wants to go first? >> i will go ahead and feel that one for everybody. [laughter] the --i nock amato is -- toshi nakamoto is the one who

when a bank is robbed, is it okay for the fdic or the bank owners to go in and talk to the tellers, orntil the trial is over with? gregg: you know, in this administration pretty consistently says, oh, cases pending, investigation pending, can't talk about it. look, you're a lawyer, a veteran prosecutor for many -- there is no law that prohibits the government from the talking about an existing case, isn't that true? >> there is no law that prohibits it. and if you're telling the truth, that's the great thing about the truth is it doesn't take that long to remember it, and you don't need a script to remember it. think -- i was a prosecutor. think back to any category of crime. i did a lot of child abuse cases. are you really saying that the child can't talk to a therapist, parents, teachers, pastors until after the trial? is that really what the administration is saying, is you can't talk to anyone other than the da can and the cops until after the trial? gregg: the state department does have a rewards for justice program in which they literally offer millions for tips leading to suspec

and our guidance on our narrow lane and issue, we spoke with the fbi, secret service, dea, i.c.e., fdic, occ, irs, the federal reserve, ncua -- >> they all have sophisticated opinions? >> yeah. [laughter] that, i'll let them answer, but we consulted with, and cftb from the consumer fraud perspective, but we've consulted with all of them as we can. it's a developing, innovative arena, and, again, lucky to cover it under preexisting regulations. talking to counterparts abroad, the last portion of the question, there is great interest by fellow regulators abroad, and they are trying to get their heads around what is this, what does it mean, and our german counterparts like us have flexible regulations in place to fit this within preexisting regulations, and so they've done so, and other countries thus far ask to see what we're doing and why, and the financial task force, the aml standard setting body for the international community plans to take up the topic. >> in answer to your first question about the level of regulation, that's what the states are trying to do by working with our colle

you're talking about, which i think is just shy of $3 billion in a wamu receivership managed by the fdic. but it's related to sour loans issued back in the day by washington mutual. kate, the last question, we are now at about $17.5 billion in total. right? so we have the -- >> with jpmorgan's payments? >> correct. >> i think we're closer to 20, but you're in the ballpark. >> lets do this. kate, we're going to come back to you in a little bit. but in the meantime, we're going to get to jacob frankel. good morning to you. >> good morning. >> so i guess we all knew this was coming, but it too so long. >> the devil is in the details. both sides have to get this done. they've went on record saying they have this settlement and really it was about working it out. all the points that kate was addressing, those were the details.ultimately, i think this was a litigateble and triable case. but the bank could not go down that route. >> now i want you to look forward. what else is left? we have this other $100 billion of mortgages lying out there. there's a number of issues, the criminal probe whic

billion dollars that it's going to on be held liable for relating to its wamu acquisition back to the fdic. >>> also, working with air india after the windshield of an airlines cracked. the 787 has suffered a series of glitches. finally, the latest news on the blackberry saga. the globe and mail reporting that canada made it clear that lenovo was not welcome to bid for the devicemaker. the canadian government did not want a chinese company to buy into blackberry. as a result, lenovo never submitted a formal bid. >> thank you. >>> back to this morning's developing story. this -- you think about different things. a gunman was found dead at a popular new jersey mall. scott cohen joins us and it's tragic, obviously, for the troubled individual, obviously, scott, for that to happen. but there have been times in the past when i thought when a shooter ends up dead, anyway, it's if only you will not hurt anyone else. i hate to try and look at a positive things about this, scott, but at least no one else was hurt and it was just the individual himself. tell us what happened. >> well, that's right,