Fed Sets Meetings On Capital One's Plan To Buy ING Direct USA

The U.S. Federal Reserve said Friday that it will hold three public meetings on Capital One Financial Corp.'s (COF) plan to buy ING Groep NV's (ING, INGA.AE) U.S. online-banking business, ING Direct USA.

In addition, the Fed said it has extended the period for public comment on the proposal through Wednesday, Oct. 12.

The three meetings, set to help the Fed collect more information on the proposal, will be held in Washington, D.C., Chicago, and San Francisco.

The Fed, in a notice late Friday, said it wants to understand whether the acquisition will produce benefits to the public such as increased competition. It said it also wants to weigh any benefits against any possible adverse effects, such as unsound banking practices or risk to the U.S. financial system.

The Washington, D.C., meeting will be held Tuesday, Sept. 20. The Chicago meeting is set for Tuesday, Sept. 27, and the San Francisco meeting is slated for Wednesday, Oct. 5.

"The Federal Reserve's review also includes an evaluation of the financial and managerial resources of the acquiring firm," the Fed said.

-By Maya Jackson Randall, Dow Jones Newswires; 202-862-6687, [e-mail]