Wall Street is making headway in a campaign to persuaderegulators to soften a key rule that has forced banks to boostcapital since the financial crisis.

After financial firms complained for about a year that some ofthe new requirements will make it overly expensive to offerderivatives to clients, regulators planned to discuss possibleconcessions at a private meeting starting Wednesday, according totwo people with knowledge of the talks. The meeting consists ofpolicy advisers to a group of global authorities that includes theFederal Reserve, the European Central Bank (ECB), and the Bank ofEngland, the people said.

The lobbying is tied to one aspect of how industry overseers setleverage ratios, which determine how much capital lenders need tooffset their risks. As the rules are now written, banks take a hiton the billions of dollars in collateral they receive fromcustomers for handling their derivatives trades.