Industry News
Banking
Top stories summarized by our editors
10/22/2021

The Consumer Financial Protection Bureau's examination of the consumer financial data practices of big tech companies has been welcomed by the Consumer Bankers Association. "Since the Bureau was founded, a growing share of banking activity has occurred outside of the purview of leading regulators, putting consumers and the resiliency of the financial system at risk. CBA long has advocated for instituting a level playing field to ensure every American family receives the protections they deserve, regardless of where they go to meet their financial needs," said CBA President and CEO Richard Hunt.

10/22/2021

Store-branded credit card use will likely decline this holiday season as customers alternatives like buy now, pay later offerings, according to a report from LendingTree. Only 29% of survey respondents say they plan to apply for a store card this holiday season, versus 44% for last year, the report said.

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Chain Store Age
10/21/2021

An increase to the debt ceiling until December has eased short-term distortion in the bond market, but investors and analysts expect headwinds to return. They say the net supply of new Treasurys will decline and turn negative in coming weeks and will be unable to accommodate demand from money managers.

10/21/2021

Major technology companies such as Apple and Facebook will be told to turn over information on how they use and collect financial data to the Consumer Financial Protection Bureau, sources said. The CFPB is reportedly planning to demand the information be turned over, rather than issue the more typical request for information public notice.

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Bloomberg Law
10/21/2021

Robert Cavallo, director of clearance and settlement product management at the Depository Trust & Clearing Corporation, says the T+1 settlement committee aims to issue an executive summary on the move from T+2 to a T+1 cycle in the next two to three weeks. The summary will include a timeline for T+1 introduction, and Cavallo comments that "somewhere around Q4 2023/Q1 2024 would be ideal for go-live."

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Asset Servicing Times
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Cavallo
10/21/2021

US bank regulators are raising their focus on climate risk, as the Biden Administration has published a fact sheet noting the risks climate change poses to the financial system. Banks have acknowledged the significant risks to their business and others associated with climate change, but remain wary of the potential burdens new regulations will create.

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American Banker
10/21/2021

First Bancorp, which just completed the acquisition of Select Bank & Trust Co., is on the hunt for more buyout candidates, said CEO Michael Mayer. "There are other institutions on our radar," said Mayer.

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First Bancorp
10/21/2021

The recent purchase of MUFG Union Bank by US Bancorp and BBVA USA by PNC has created opportunities for Comerica to gain market share in the key markets of Texas and California, said executive director Peter Sefzik. As a result of these tie-ups, Comerica can snap up new talent, prospects and customers, he said.

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American Banker
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US Bancorp
10/21/2021

The rise in home improvement lending and consumers looking to upgrade their homes amidst the pandemic has caught the interest of several banks, such as Goldman Sachs, Truist Financial and Regions Financial, who have all recently made buyouts in the sector. The surge in home improvement and remodeling is not expected to end anytime soon, said LendKey CEO Vince Passione.

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American Banker
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Truist Financial
10/21/2021

President Joe Biden's nomination of Saule Omarova to lead the Office of the Comptroller of the Currency shows a hostility toward free markets, writes Steve Forbes. "Today Omarova advocates that consumer banking be taken over by the Federal Reserve and wants the government to direct where loans are made," Forbes writes.

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Saule Omarova, Steve Forbes