More than 120 banks and other financial institutions on Friday posted plans for how they would wind down operations during a crisis, without the help of public money, Reuters reported. U.S. regulators will scour those "living wills" to make sure they are credible. Under the 2010 Dodd-Frank Act, the federal government can carve up a bank if regulators do not believe its plan is workable and in recent years they have faulted more than a dozen banks for drafting overly optimistic or not credible plans. Regulators have not, however, begun the process of breaking up a bank. General Electric Capital Corporation, Prudential Financial and American International Group posted their plans, which were originally due July 1, along with other institutions with assets of less than $100 billion. A handful of the banks publishing wills have more than $100 billion in assets, but less than $250 billion, such as RBS.
