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And worries about money in the short-term are compounded by fears over a possible future loss of earnings.
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But he said that reporting standards did not require them to be more vigilant and therefore many banks were unwilling to be more prudent about possible future losses.
The central bank said that current capital ratios at major British banks were probably insufficient because possible future losses and costs of bad loans or other past business decisions might be bigger than expected.
The health of Britain's major financial institutions is probably overstated because possible future losses and costs related to bad loans may be larger than expected, Julia Werdigier reports in The New York Times.
The act also included provisions to minimize foreclosures on federally owned mortgages, to recover possible future losses on the government's mortgage investments, to prevent windfalls for executives of banks that benefit from the act, and to monitor the investments of the Treasury Department through reports to Congress and a specially created oversight board.
The central bank said in a report that current capital ratios at major British banks — a measure of their ability to withstand financial shocks — were probably insufficient because possible future losses and costs of bad loans or other past business decisions might be bigger than expected.
The bank set aside $3 billion to cover possible future losses; it reserved $7.3 billion during the same period last year.
The FDIC needs a larger amount of private capital to give it a larger cushion against possible future losses before it has to write the check.
Bank of America, the largest U.S. retail bank, may set aside a record $6.5 billion in the first quarter to cover possible future loan losses, including in its mortgage and home equity portfolios, according to a banking analyst.
The estimate of loss of productivity is not easy to perform in this population: some patients were still students, while others did not complete even their compulsory education, probably for reasons related to their condition, which must be considered as a loss of productivity and possible cause of future loss.
But it won't resolve doubts about possible future real-estate losses in Spain.
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