Fed orders Bank of America to resubmit dividend, buyback plans

San Jose Mercury News: WASHINGTON -- Bank of America must resubmit its plans to raise dividends or buy back stock, the Federal Reserve has ordered, citing weaknesses in the bank's planning processes.

The Fed announced the decision Wednesday as part of its "stress tests" -- an annual check-up of the nation's biggest financial institutions. This year, 31 banks were tested to determine if they have large enough capital buffers to keep lending through another financial crisis and severe economic downturn.

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