News
"Federal Deposit Insurance Corp. Vice Chair Travis Hill, poised to lead the agency, outlined his priorities, including minimizing the regulatory burden on banks, distancing the agency from climate-related rules and politically motivated oversight like Operation Choke Point, and fostering a friendlier environment for digital assets.
In his remarks — delivered to a crowd at the American Bar Association's Banking Law Committee Meeting on Friday — Hill shed light on the path forward for a key regulatory issue in banking: the Basel III endgame capital requirements set to be revisited under the Trump-era FDIC."
"The Federal Reserve's resident voice of dissent to Biden-era bank policy is calling for 'pragmatism as a guiding principle' to regulation and supervision under President-elect Donald Trump.
In a speech on Thursday, Fed Gov. Michelle Bowman said she was 'optimistic' that the change in administration will open the door for a more collaborative dynamic between banks and the agencies that oversee them."
"Less than two weeks from today, the Trump administration will return to power after a four-year hiatus. Keeping the potential of deep resistance movements in mind, here are seven economic justice storylines I'll be following over these next few years. There will be a lot to resist, but also some previous work to keep building on."
"The Federal Reserve Board announced on Monday that Michael S. Barr will step down from his position as Federal Reserve Board Vice Chair for Supervision, effective February 28, 2025, or such earlier time as a successor is confirmed. Barr will continue to serve as a member of the Federal Reserve Board of Governors."
"State Street Corp. completed its $100 million initiative launched earlier in 2024 by placing additional deposits through three Minority Depository Institutions (MDIs) and Community Development Financial Institutions (CDFIs) — New Orleans, Louisiana-based Liberty Bank and Trust Co., Denver-based Native American Bank NA and Saint Paul, Minnesota-based Sunrise Banks NA.
In February, the company announced a goal to invest $100 million to facilitate low-cost, stable deposit funding to MDIs and CDFIs. State Street said the investment aligns with its broader business strategy to expand the financial market ecosystem and promote economic potential through long-term growth and job creation."
"Evan Weinberger, the banking reporter at Bloomberg Law, talks about the Trump administration's trial balloon to eliminate the FDIC or combine regulatory agencies. He also goes in-depth on the various fights the CFPB is engaged in, how the Trump administration could choose to tackle them, and what that would mean for banks."
"The Mission Driven Bank Fund (MDBF) today announced that all seven portfolio banks are actively participating in its technical services program, which provides targeted support to the Fund's portfolio banks to build organizational capacity. The participation rate is well above the program's 75% goal.
All MDBF portfolio banks have access to the technical services program upon a capital investment. The program, designed to be collaborative, has two key goals. The first is to promote sustainability by strengthening the bank's financial performance and building staff capacity. The second is to help banks better serve their communities by deepening or growing their existing clients, expanding service areas, and/or investing in technology to improve the customer experience."
"House Republican leaders on Thursday choose Rep. French Hill (R-Ark.) to lead the House Financial Services Committee in the 119th Congress...
Hill was selected to lead the Financial Services panel, over Reps. Andy Barr (R-Ky.), Frank Lucas (R-Okla.) and Bill Huizenga (R-Mich.), according to two sources in the room of leaders who made the decision. Hill won on the second ballot after Lucas dropped off on the first ballot, one source said."
"The Consumer Financial Protection Bureau (CFPB) amends Regulations E and Z to update regulatory exceptions for overdraft credit provided by very large financial institutions, thereby ensuring that these extensions of overdraft credit adhere to consumer protections required of similarly situated products, unless the overdraft fee is a small amount that only recovers estimated costs and losses. The rule allows consumers to better comparison shop across credit products and provides substantive protections that apply to other consumer credit."
"The Consumer Financial Protection Bureau released a final overdraft rule that caps overdraft fees at $5 for the largest banks. The sweeping rule immediately drew a legal challenge from bank trade groups.
The CFPB said in a final rule issued Thursday, that it will reclassify overdraft fees as loans subject to interest rate disclosures under the Truth in Lending Act. The rule would apply only to the largest banks and credit unions with more than $10 billion in assets, impacting roughly 175 financial institutions.
The Consumer Bankers Association said late Thursday that it is jointly pursuing legal action against the CFPB with the American Bankers Association, America's Credit Unions, Mississippi Bankers Association and three banks directly affected by the rule."