Rep. Patrick McHenry, R-N.C., is seeking to become the top Republican on the House Financial Services Committee. Reps. Blaine Luetkemeyer, R-Mo., and Bill Huizenga, R-Mich., have said they will back McHenry, who says he will "fight back against any efforts by Democrats to use this committee to roll back our successes from the last two years or use the committee as the launch pad for endless, partisan investigations."
The Community Reinvestment Act has been changed only once since implementation in 1977, and bankers want the rule modernized to ensure investment dollars are put where they are needed most, CBA President and CEO Richard Hunt writes. Bankers invest more than $100 billion annually in low- and moderate-income neighborhoods, and modernization would expand projects, Hunt writes.
JPMorgan Chase has opened the first of 50 planned branches in the Philadelphia area. The 1,500-square-foot branch in Camden, N.J., is modeled on branches in New York and California that are designed to attract customers who normally bank online.
JPMorgan Chase's expansion into the Boston market does not worry Bank of America CEO Brian Moynihan. "They're a good competitor, but we'll compete, and we'll win," Moynihan said.
Financial-technology companies will likely begin applying for bank charters within a couple of months and have not been deterred by a lawsuit filed by state banking regulators, Comptroller of the Currency Joseph Otting says. His office earlier this year announced plans to consider fintech applications for charters, but state regulators say the move could harm consumers.
Seventy-seven percent of Colorado voters supported a ballot measure that will cap interest rates on small-dollar loans at 36% and eliminate other fees and finance charges.
The August compliance date for the Consumer Financial Protection Bureau's small-dollar lending rule has been delayed by a federal judge at the request of CFPB acting Director Mick Mulvaney and two industry groups. Mulvaney says that as soon as January, the CFPB will introduce revisions to the original rule, which was proposed by former CFPB Director Richard Cordray.
The Securities and Exchange Commission has fined Citibank more than $38 million for its mishandling of American Depositary Receipts, or US securities that represent foreign shares. The SEC found that Citi improperly provided ADRs to brokers who did not have the shares to back them up.
The Trump administration's efforts to ease regulatory oversight of banks could be slowed after Democrats gain control of the House. Although the House is unlikely to succeed in imposing stricter laws as long as Republicans control the Senate, it could impede any new deregulatory initiatives.
Changes in Congress after the midterm elections will bring "a lot of YouTube moments but not a lot of bill-signing moments," CBA President and CEO Richard Hunt says. "There will be reputational risk, and it will be legislative light," he says.