CFPB Monitor

MARCH 15, 2022

Given such continuing threats, non-bank participants would be well-advised to revisit their vulnerability to “true lender” challenges and their compliance with state licensing laws. In addition to “true lender” threats, non-bank participants in bank-model programs will continue to face state licensing threats.

California 78

California Innovation Utah West Virginia 78

BankInovation

JUNE 3, 2021

Federal Deposit Insurance Corporation (FDIC) is exploring how to shepherd such integrations while also assimilating changes in the agency’s internal tech stack. Starting June 14, Sultan Meghji, the FDIC’s inaugural chief innovation officer, and the supervisory body’s tech lab, […].

FDIC 90

FDIC Innovation How To Fintech 90

Bank Innovation

APRIL 25, 2019

Fintechs are having trouble facing reality when it comes to obtaining bank charters, FDIC Chairman Jelena McWilliams and Comptroller of the Currency Joseph Otting said here at the FDIC’s Fintech and the Future of Banking conference on Wednesday. WASHINGTON, D.C.

Fintech 186

Fintech FDIC Washington Conference 186

Bank Innovation

APRIL 24, 2019

Secretary of the Treasury Steven Mnuchin said today that he prefers private over government solutions when it comes to collecting and using consumer data for financial products and services, speaking at a fintech conference hosted here by the FDIC.

Data 170

Data FDIC Washington Conference 170

BankInovation

JUNE 4, 2021

companies, Sultan Meghji, the FDIC’s new chief innovation officer, told BAN. In this week’s episode of "The Buzz," Bank Automation News tackles the question of what banks can expect from regulatory agencies when it comes to deploying artificial intelligence (AI) in financial services. AI may offer a competitive advantage for U.S.

Innovation 98

Innovation Company FDIC Compliance 98

Bank Innovation

JULY 31, 2018

The fintech charter does not require deposit insurance from the FDIC, per a recommendation from the Treasury Department. It’s good news for fintechs in lending and payments that want a federal banking license, the Office of Comptroller of the Currency (OCC) has started accepting applications starting today.

Fintech 218

Fintech FDIC Lending Payments 218

CFPB Monitor

SEPTEMBER 14, 2021

Last week, the Federal Reserve Board published a paper on partnerships between community banks and fintech companies, “Community Bank Access to Innovation through Partnerships.” An alignment of priorities and objectives between the fintech and bank, such as mutual emphasis on the importance of compliance with banking regulations.

Fintech 78

Fintech Community Bank Community FDIC 78

PYMNTS

NOVEMBER 23, 2020

As for easing the path toward financial innovation, there’d always been some consideration of seeking a national banking charter, noted Cagney, especially as the company began building blockchain and blockchain applications over the past few years. Looking Toward The Blockchain . And herein lies the great irony in financial services.

National 215

National blockchain Montana Lending 215

PYMNTS

APRIL 7, 2016

The Office of the Comptroller of the Currency said last week it was seeking comments on a whitepaper on “responsible innovation” in marketplace lending. The FDIC warned mainstream banks about buying marketplace debt, and the CFPB has set up a special desk for marketplace lending-based complaints.

Lending 100

Lending San Francisco FDIC Regulation 100

PYMNTS

MAY 22, 2018

Tom Hoenig, who stepped down last month as FDIC vice chairman, (said) that the Volcker rule should remain in place but, rather than requiring banks to comply with tedious reporting requirements, allow bank examiners to check compliance with policies and procedures as part of the regular inspection process,” the report added.

Regulation 100

Regulation Regional Community Innovation 100

CFPB Monitor

SEPTEMBER 10, 2020

The DBO indicated that it “is investigating whether LoanMart’s role in the arrangement is so extensive as to require compliance with California’s lending laws. Thus, both the OCC and FDIC have adopted regulations rejecting the Second Circuit’s Madden decision. The FDIC has not yet proposed a similar rule.

Utah 78

Utah California FDIC West Virginia 78

Abrigo

AUGUST 6, 2021

Takeaway 2 Community banks are at a crossroads: innovate or be left behind (or acquired). according to FFIEC and FDIC data. 1 Today, community banks are at a critical crossroads: innovate or be left behind (or acquired). . Even though community banks make up a small share of total assets and deposits, 13.5%

Community Bank 195

Community Bank Community Kansas City Lending 195

PYMNTS

JUNE 19, 2020

FDIC: US Banks See Chargebacks Soar, Profits Tank Due To Pandemic. The support of local payment methods , while ensuring know your customer (KYC) and anti-money laundering (AML) compliance as well as tracking currency exchange rates can put pressure on the resources of retailers. Bank profits in the United States took a 69.6

Payments 151

Payments United States FDIC Retail 151

Abrigo

MARCH 2, 2023

Takeaway 2 According to Forrester data, firms pursuing technology-driven innovation grow three to four times faster than industry averages. Community banks and the entire banking industry face downside risks from inflation, rising market interest rates, and continued geopolitical uncertainty, the FDIC said recently in its quarterly report.

Technology 195

Technology Lending Community Software 195

Gonzobanker

FEBRUARY 1, 2024

The FDIC Approved This Ad How many times did we hear a speaker admonish the audience to “be sure and sign up for the FDIC notification list.” As disruptive innovation finds a home in banking, the industry anticipates a surge in technology’s ability to drive tangible business outcomes. Five Hundred? (Oh

Conference 88

Conference FDIC Arizona Industry 88

Perficient

JUNE 10, 2022

Regulators must therefore balance the need for stability and regulatory control with the need to allow innovation in the crypto marketplace. No one wants a failure of one cryptocoin to cause an electronic bank run that in turn causes the value of other crypto coins to plunge.

blockchain 275

blockchain Regulation Policies FDIC 275

CFPB Monitor

APRIL 1, 2021

In what could be an important step towards needed regulatory updating to accommodate the growing use of artificial intelligence (AI) by financial institutions, the CFPB, FDIC, OCC, Federal Reserve Board, and NCUA issued a request for information (RFI) regarding financial institutions’ use of AI, including machine learning (ML). Uses of AI.

Risk Management 78

Risk Management Training Lending FDIC 78

Insights on Business

MARCH 5, 2019

Reducing costs but appeasing regulators seems like an oxymoron, yet, many AML compliance and operations leaders are being asked to do just that. They even mentioned that these approaches “can maximize utilization of banks’ BSA/AML compliance resources.” But is it possible? The question’s answer has now become apparent to me.

Regulation 70

Regulation Compliance Analysis Innovation 70

Javelin Strategy & Research

SEPTEMBER 2, 2014

I can’t get enough of innovation and digital strategy. My 30 year career started in merchant e-commerce technology, with numerous product management/leadership/launch roles before moving over to product-innovation research some fifteen years ago. I’ll provide one more example of the elusive win-win innovation.

Innovation 58

Innovation DC FDIC Strategy 58

CFPB Monitor

OCTOBER 22, 2020

” It also requires the Bureau to consult with the Fed, OCC, FDIC, and FTC to ensure, to the extent appropriate, that any rule implementing Section 1033 imposes substantively similar requirements on covered persons, takes into account conditions under which covered persons do business both in the U.S.

Data 78

Data FDIC Digital Banking Compliance 78

CFPB Monitor

SEPTEMBER 9, 2020

1831d(a) (“Section 27(a)”), which governs the interest charges of state-chartered FDIC-insured banks. The recharacterization threat also diminishes both the opportunity for innovation in lending products and the availability of credit, especially for consumers with risker credit profiles. 12 U.S.C. § 1 (emphasis added).

FDIC 78

FDIC National South Dakota Lending 78

FICO

OCTOBER 4, 2016

When federal banking agencies recently revised their Q&As for CRA compliance , their focus on the use of alternative data caught my eye. The Act requires federal banking agencies (the OCC, FDIC and Federal Reserve – “Agencies”) to conduct periodic reviews of each depository institution’s efforts in this area.

Lending 74

Lending Data Community FDIC 74

American Banker

AUGUST 25, 2023

The small community bank was bought up by crypto-focused investors and quickly repositioned to cater to tech innovators. Is this problematic or perfectly legitimate?

Community Bank 68

Community Bank Community Innovation FDIC 68

FICO

DECEMBER 20, 2018

Siloed business units and technology stacks for credit risk, marketing, fraud and compliance work extraordinarily well for maintaining the status quo, but poorly when it comes to large-scale transformation. Payday Lenders Will Face More Robust Competition. small-dollar lending market.

Trends 73

Trends Lending Fraud Exercises 73

Bank Innovation

FEBRUARY 11, 2020

This week, digital banking startup Varo received approval from the Federal Deposit Insurance Corporation, a significant milestone in the company’s three-year quest to become a bank.

Digital Banking 293

Digital Banking Company Innovation Strategies FDIC 293

NCR

DECEMBER 18, 2015

Tech innovator Apple hit the market more than a year ago with Apple Pay , bringing along retailers as diverse as Macy’s, Duane Reade and Whole Foods as partners. The FDIC estimates that some 10 million households have no contact with a banking institution of any kind. And there are many alternatives, such as Venmo, Square and Belly.

Apple 40

Apple Retail FDIC Mobile 40

PYMNTS

OCTOBER 1, 2018

The DOJ investigation centered on whether LendingClub had – between January 2009 to September 2010 – misled its FDIC-insured loan originator, WebBank , leading the bank to underwrite over 200 loans that did not conform to the bank’s lending requirements. The DOJ Finding.

Lending 135

Lending Fraud Management San Francisco 135

CFPB Monitor

MAY 22, 2020

The Federal Reserve, OCC, FDIC, and NCUA have issued “ Interagency Lending Principles for Offering Responsible Small-Dollar Loans.” Effective management of credit, operational, compliance, and other risks. Repayment outcomes and program structures that enhance a customer’s financial capabilities.

FDIC 78

FDIC Policies Lending Guidelines 78

Bank Innovation

MAY 31, 2019

New York-based Grasshopper Bancorp, which opened for business to a select group of entrepreneurs and investors earlier this month, this week raised $116 million from investors, including T. Rowe Price Group, Patriot Financial Partners and Endeavour Capital Advisors.

New York 186

New York Groups Capital FDIC 186

Bank Innovation

SEPTEMBER 18, 2017

SoFi’s hopes of becoming a bank have most likely been crushed after the departure of former CEO Mike Cagney, Securities and Exchange Commission former chairman Arthur Levitt told the Financial Times yesterday.

Utah 170

Utah Online Security FDIC 170

Bank Innovation

MAY 21, 2018

Cryptocurrency is going mainstream, or rather, banks and cryptocurrency exchanges are growing more enmeshed.

cryptocurrency 186

cryptocurrency Bitcoin Operations Industry 186

CFPB Monitor

MAY 7, 2020

While most of the report recycles information about which we have previously blogged, it does contain the following noteworthy information: The section of the report on “Innovations in access to credit” includes a subsection about “providing adverse action notices when using artificial intelligence and machine learning models.”

Lending 78

Lending Report FDIC Policies 78

William Mills

SEPTEMBER 9, 2016

Auto-financing is ripe for innovation. Addresses compliance, fraud experience and customer experience analytics. Social media is a special challenge since social media was not created with compliance in mind. 10:50 am Moonraft Innovation Labs – [link] – @moonraft. With reporting, can get rid of excel.

social media 40

social media ATM Mobile Customer Experience 40

BankInovation

JULY 31, 2020

After a three-year saga, Varo Money finally has its bank charter. The Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation and the Federal Reserve all signed off on Varo Bank N.A., the bank announced today. This is a thrilling milestone for Varo, as the bank charter has been a core part […].

Innovation Strategies 64

Innovation Strategies FDIC Strategy Compliance 64

CFPB Monitor

JUNE 25, 2020

The final rule is effective October 1, 2020 but sets mandatory compliance dates based on the applicable performance standards. Until compliance with the final rule, national banks and federal savings banks must comply with the OCC’s current rule. These banks conduct a majority of all CRA activity in the United States.

Community 97

Community Lending Meeting Retail 97

CFPB Monitor

NOVEMBER 22, 2022

While the report does not address “true lender” challenges in bank/fintech lending relationships, it does discuss the risk of “so-called ‘rent-a-charter’ schemes that market themselves as innovative fintech lending platforms, but operate with essentially the same harmful business model as a traditional payday lender.”

Fintech 78

Fintech Report Data Lending 78

Jeff For Banks

MARCH 29, 2014

The amount of deposits available to us while maintaining full FDIC insurance protection for our trust customers has consistently exceeded $30 million for the last three years. We are able to utilize relatively low cost deposits provided by our trust activities to fund additional loan growth. Prosperity Bancshares, Inc.

Strategy 101

Strategy Texas San Antonio Fort Worth 101