United States: Finance and Banking

The Federal Deposit Insurance Corporation has proposed a rule that would fundamentally alter which state laws apply to banks operating across state lines, extending parity protections beyond physical branches to all services provided in host states. This modernization of the Riegle-Neal framework responds to the digital transformation of banking and recent litigation over state interchange fee laws.

On October 14, 2026, the Federal Reserve issued Supervision and Regulation Letter 26-8, updating eligibility criteria for state member banks and U.S. branches and agencies of foreign banks to qualify for an extended 18-month examination cycle rather than the standard 12-month cycle. The guidance follows amendments to the Federal Deposit Insurance Act under the 21st Century ROAD to Housing Act (previously discussed here), which increased the asset threshold for eligible institutions from $3 billion to $6 billion.

The Conference of State Bank Supervisors has released a comprehensive AI Supervisory Framework designed to guide state examiners in assessing artificial intelligence use at financial institutions. This framework provides a detailed roadmap covering governance, risk management, and examination procedures, with particular emphasis on generative and agentic AI applications. Financial institutions should consider using this framework proactively to evaluate their AI readiness and prepare for regulatory examinat

David L. Zive and Jacob E. Trachtenberg examine the distressed note sale market from both buyer and seller perspectives, analyzing the legal and transactional frameworks that govern these complex transactions. The article provides practical guidance for navigating the current market landscape and understanding the key considerations in distressed debt transactions.

On September 23, the Colorado AG announced a settlement with a Colorado-licensed debt collection company resolving allegations concerning its collection of medical debt from Colorado consumers.

As AI infrastructure spending surges toward $697 billion in 2026, hyperscalers and compute providers are increasingly turning to debt, structured financing, and GPU-backed collateral to fund expansion. While demand projections remain bullish, a critical timing gap is emerging between capital deployment and cash flow generation, creating significant risks for lenders, sponsors, and operators across the ecosystem.

Directs federal housing agencies to reduce homeownership costs by facilitating proactive mortgage-insurance cancellation, standardizing manufactured-housing requirements...

In California, solar operators leasing land for their projects face a critical risk: foreclosure by a junior lienholder could extinguish their lease and force premature project removal, potentially triggering defaults under revenue agreements. A simple yet often overlooked solution—recording a Memorandum of Lease—can protect the project from most foreclosures by establishing the lease's priority in the chain of title.

Establishes a committee of inquiry to investigate allegations that Federal Reserve Governor Lisa D. Cook made false statements in connection with mortgage instruments and to recommend whether...

The Commodity Futures Trading Commission has issued an advance notice of proposed rulemaking seeking public comments on developing a framework for regulating retail crypto asset transactions offered on a leveraged, margined, or financed basis.

The Securities and Exchange Commission has approved FINRA Rule 3290, which will replace existing rules governing outside business activities and private securities transactions for registered persons. This new rule narrows the scope to focus on investment-related activities while maintaining similar supervisory obligations for member firms. Understanding the key changes and implementation requirements will be critical for broker-dealers as they update their compliance policies and procedures.

Federal Reserve Vice Chair Michelle Bowman has announced a major restructuring of the Federal Reserve's supervisory function into five regional divisions, moving away from the current twelve Reserve Bank district model. The reorganization aims to address accountability concerns identified in the Silicon Valley Bank failure review, while Bowman also previewed significant changes to regulatory thresholds, the large bank tailoring framework, and supervisory ratings.