Most financial firms have yet to incorporate machine learning into operations, though many are looking into this technology. "Throw a dart at any investment process and someone, somewhere has automated every part of it," said Gary Kazanstev, Bloomberg's head of machine learning.
Senators are filing bills in response to the Equifax data breach, including one that seeks to restrict data brokers' ability to sell consumers' personal information to marketing companies. In addition, Sen. Elizabeth Warren, D-Mass., is asking the Federal Trade Commission and the Consumer Financial Protection Bureau to investigate data security.
Jim Smith, CEO of Webster Financial since 1987, will retire at year-end. President John Ciulla will become CEO of the bank, which is the biggest in the $37 billion market for health savings accounts.
Banks and credit unions have been sued by consumers who say they were misled about overdraft fees, but financial institutions say terms are laid out upfront. "With nearly half of Americans unable to meet a $400 emergency expense, overdraft is a voluntary service which provides consumers access to short-term liquidity," said CBA President and CEO Richard Hunt.
A payday-lending rule from the Consumer Financial Protection Bureau is expected to be challenged in Congress and in court by trade groups that say the CFPB has not listened to borrowers or processed comments properly while drafting the rule. Release of the rule, which targets short-term loans, is expected within days.
The Consumer Financial Protection Bureau has received more than 57,000 complaints against Equifax since 2012. Equifax recently disclosed a security breach that affects 143 million consumers.
The Consumer Financial Protection Bureau has fined student-loan company National College Student Loan Trusts and debt collector Transworld Systems at least $21.6 million for allegedly trying to collect on out-of-date or nonexistent loans. The companies collected on at least $3.5 million in debt consumers did not owe, according to the CFPB.
Consumers who do not agree with an overdraft fee on a checking account can dispute the charge with the bank, says David Pommerehn, associate general counsel and vice president of CBA. Consumers must opt in before receiving overdraft service and being charged a fee.
The period for submitting comments on the Labor Department's proposal to postpone the effective date of some portions of the fiduciary rule ended Friday. In their comments, critics argue the delay is necessary to revise parts of the rule that need to be fixed, while supporters say the delay would be costly for investors.
FinovateFall, held last week in New York City, included bankers alongside financial-technology companies specializing in areas including security, online lending and artificial intelligence chatbots. Missing from the event were Square and Social Finance, two companies that applied for charters this year.
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