Recent News
"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... Read more
"The Mission Driven Bank Fund today announced an investment in FNBC Bancorp, Inc., a community development financial institution (CDFI) bank committed to expanding financial services in underserved communities in Arkansas and Missouri. The investment adds to the growing portfolio of banks that demonstrate the Fund's commitment to help the underserved by providing mission-aligned banks with a range of investment instruments and subsidized technical services tailored to their needs.
FNBC Bancorp, Inc. will use the capital to expand its geographic footprint and scope in North-Central... Read more
"Federally assisted rental housing relies on subsidies that help housing providers build, operate and maintain affordable homes, according to the report. These federal project-based subsidies support over 5 million homes, or 10% of the nation's rental housing stock.
The report highlights threats to this type of housing: Although the U.S. added more than 104,000 homes to its federally assisted housing stock in recent years, it lost more than 71,000 such homes. Affordability restrictions are set to expire for more than 374,000 federally assisted homes in the next five years, and about... Read more
"As the traditional holiday shopping season kicked off on Thanksgiving weekend, the White House announced that the Small Business Administration (SBA) is increasing small business lending limits, and the Office of Management and Budget (OMB) has released guidelines to small businesses compete for federal contracting opportunities...
The SBA is announcing an increase of the maximum loan amount backed by SBA Community Advantage Small Business Lending Companies from $350,000 to $500,000 for active lenders in good standing."
"Carver Bancorp's new CEO, Donald Felix, is managing through a proxy contest as he devises a plan to return the Black-operated bank to profitability. . . 'This is a good opportunity,' Felix said. 'It's meaningful for the future. With so few Black-operated banks remaining, Carver ... is too important not to succeed.'"
"Leading House Republicans on banking issues called on the Federal Deposit Insurance Corp. to withdraw its brokered deposit proposal, previewing part of the GOP's bank regulatory agenda in the next Congress.
Reps. Andy Barr, R-Ky., and French Hill, R-Ark., both leading contenders to be the chairman of the House Financial Services Committee next year, asked that FDIC Chair Martin Gruenberg abandon the brokered deposit rulemaking, which would reverse a more bank-friendly rule issued during the first Trump administration."
"Senator John Cornyn (R-Texas) will be a part of the newly-formed Senate DOGE Caucus, designed to find and eliminate governmental waste.
The caucus, led by Sen. Joni Ernst (R-Iowa), will work with the Trump administration's Department of Government Efficiency, which is helmed by Elon Musk and Vivek Ramaswamy."
"Scott Bessent spent the past 40 years studying economic history. Now, as Donald Trump's choice to lead the Treasury Department, he has the chance to make his mark on it.
As a hedge-fund manager, first at George Soros's firm and later at his own, Bessent specialized in macroinvesting, or analyzing geopolitical situations and economic data to wager on big-picture market moves. He generated billions of dollars in profits betting on and against currencies, interest rates, stocks and other asset classes around the world."
"President-elect Trump announced his nomination of former NFL star Scott Turner for Secretary of the Department of Housing and Urban Development on Friday.
'I am pleased to nominate Scott Turner, from the Great State of Texas, as the Secretary of the United States Department of Housing and Urban Development (HUD),' Trump wrote in a press release."
"Russell Vought, a prominent contributor to the Heritage Foundation's Project 2025, will return as director of the Office of Management and Budget in Donald Trump's second administration, the president-elect announced Friday.
Vought will lead the powerful office tasked with reviewing federal regulations and developing the president's budget, Trump said in a post on his social media platform."
"Good afternoon. It's an honor to welcome President Clinton to Treasury today to mark the recent 30th anniversary of the establishment of the Community Development Financial Institutions Fund...
...The CDFI Fund has been a key part of this story. Since its establishment and across both Democratic and Republican administrations, it has provided more than $8 billion to CDFIs and mission-driven lenders and $81 billion in tax credits to community development entities. In 2023, it awarded more assistance than in any other year in its history. And one analysis finds that every dollar the... Read more
"Federal Deposit Insurance Corp. Chairman Martin Gruenberg — the agency's longest serving board member — said Tuesday that he would retire from the agency in January.
In an email sent to staff, Gruenberg said he had given President Biden notice that he plans to retire as chairman and member of the board of directors of the FDIC effective Jan. 19, the day before President-elect Donald Trump is sworn in."
"Former President Bill Clinton will return to the U.S. Treasury Department for the first time in nearly 25 years on Thursday to mark the 30th anniversary of a community lending fund launched during his presidency but which could be put at risk by President-elect Donald Trump's new government efficiency body.
The Treasury Department said that Clinton will join Yellen in a program to underscore the importance of the Community Development Financial Institutions Fund in supporting small businesses and families in minority and underserved communities. The fund was launched in 1994.... Read more
"President Joe Biden is requesting nearly $100 billion in emergency disaster aid after Hurricanes Helene and Milton, and other natural disasters, telling lawmakers that the money is 'urgently needed.'
The letter Monday to House Speaker Mike Johnson comes as lawmakers meet during a lame-duck session to finish key priorities before making way for a new Congress and the incoming Trump administration. Biden said he has met firsthand with those harmed by the storms and he heard what residents and businesses needed from the federal government."
"House Republicans vying to chair the Financial Services Committee are ramping up their campaigns to win over key GOP powerbrokers. MM has a sneak peek at the pitches (and related apparel) from two top contenders, Reps. Andy Barr and French Hill, who are trying to tie their proposed agendas to President-elect Donald Trump."
"Consumer Financial Protection Bureau Director Rohit Chopra is asking Congress to reconsider deposit insurance limits after the failure of an Oklahoma bank will likely cause some to take a haircut on their deposits.
The tiny First National Bank of Lindsay in Oklahoma was shuttered in October after the Office of the Comptroller of the Currency found "false and deceptive bank records and other information suggesting fraud." At the time, the Federal Deposit Insurance Corp. said that it would make 50% of uninsured funds available to depositors."
"Rep. French Hill, R-Ark., a leading contender to lead the Republicans on the House Financial Services Committee, has pitched a vision for community banking policy under a Republican-led administration...
...His principles include a further tailoring of regulations for community banks, measures to make it easier for those banks to attract capital and partner with financial technology companies, and changes to the ways in which regulators resolve failed banks.
'I just believe that we've lost our way in attracting new capital into the industry on a de novo basis, the formation... Read more
CDBA extends congratulations to all of our members that have made this distinguished list!
"Banks spent the past year grappling with familiar challenges. The second year of sustained high interest rates continued to drive higher deposit costs and lower loan demand, which in turn squeezed margins. The regulatory landscape grew more fraught following the banking crisis in 2023 and fraud activity increased. Employee recruitment and retention remained difficult at some banks. Toss in election-year uncertainties and growing geopolitical concerns, and there were plenty of headaches at... Read more