On Thursday, banks learn whether or not they'll be allowed to increase capital distributions to shareholders. In B of A's case, there seems to be little question that it will be.
Last week, the Federal Reserve reported that 17 of the nation's 18 largest banks passed this year's round of stress tests. Among those making the grade was Bank of America (BAC -1.07%). The question this week is whether the Fed will allow B of A to return more capital to shareholders by means of a higher dividend or share buyback program. In the video below, Motley Fool contributor John Maxfield discusses why he thinks the chances of this are good.
John Maxfield owns shares of Bank of America. The Motley Fool owns shares of Bank of America. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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