Banking in Canada can be a murky subject – one that we hope to shed some light on with a series of highly informational articles.
Latest News
Business Highlights + MORE Oct 26th
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Some buyers call classes by ‘Flip or Flop’ stars misleading
NEW YORK (AP) — HGTV “Flip or Flop” stars Tarek and Christina El Moussa are capitalizing on their fame by offering pricy classes that promise to teach people how to flip homes for profit. But some participants .... More »
Alternative lender Equitable says all 6 big banks have agreed to fund $2B backstop May 4th
Alternative lender Equitable Group Inc. says all six of Canada's big banks have agreed to loan the company up to $2 billion, should the need arise..... More »
Outlook 2018, Part 3: The writing on the wall: Housing, mortgages and Canada’s banks Jan 3rd
‘It could well be that the banks are already beginning to tighten up the lending spigots’
.... More »
Should You Accept That Pre-Approved Credit Limit Increase? + MORE Jul 5th
If you faithfully pay your loans, mortgage and credit cards each month, then you’ve probably received a call or letter from your bank with the news that you were pre-approved for a credit increase or a line of credit.
You might be thinking, I don’t even use all the credit I currently have. I do.... More »
At midday: TSX dragged lower as financials lead declines; energy gains Jul 18th
Banks drag S&P, Dow lower; Netflix leads Nasdaq higher
.... More »
The European Central Bank says 13 of Europe’s 130 biggest banks have flunked an in-depth review of their finances and must increase their capital buffers against losses by €10 billion ($12.5 billion US).
ECB says 13 of 130 big European banks flunk test of their finances, must find 10B euros
– canadianbusiness.com
FRANKFURT – The European Central Bank says 13 of Europe’s 130 biggest banks have flunked an in-depth review of their finances and must increase their capital buffers against losses by 10 billion euros ($12.5 billion).
The ECB said 25 banks in all were found to need stronger buffers — but that 12 have already made up their shortfall during the months in which the ECB was carrying out its review. The remaining 13 now have two weeks to tell the ECB how they plan to increase their capital buffers.
The ECB checked the worth of banks’ holdings and subjected the banks to a stress test that simulates how their finances would fare in an economic downturn.
The exercise is aimed at strengthening the banking system so lenders can provide more credit to companies, boosting the weak European economy. The economy has been plagued both by banks’ unwillingness to lend at affordable rates and by weak demand from companies that see no reason to risk borrowing.
ECB Vice-President Vitor Constancio said the stress test and asset check were “quite strict” and that “the results guarantee that going forward the economic recovery will not be hampered by credit supply restrictions…
The ECB said 25 banks in all were found to need stronger buffers — but that 12 have already made up their shortfall during the months in which the ECB was carrying out its review. The remaining 13 now have two weeks to tell the ECB how they plan to increase their capital buffers.
The ECB checked the worth of banks’ holdings and subjected the banks to a stress test that simulates how their finances would fare in an economic downturn.
The exercise is aimed at strengthening the banking system so lenders can provide more credit to companies, boosting the weak European economy. The economy has been plagued both by banks’ unwillingness to lend at affordable rates and by weak demand from companies that see no reason to risk borrowing.
ECB Vice-President Vitor Constancio said the stress test and asset check were “quite strict” and that “the results guarantee that going forward the economic recovery will not be hampered by credit supply restrictions…
25 European banks fail stress test, 12 have fixed holes already
– theglobeandmail.com
Italian sector under scrutiny after nine banks fail
