Risk: Page 6
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UBS to pay $1.4B to settle mortgage-backed securities fraud case
The Justice Department has recovered $36 billion in civil penalties from 18 financial institutions in connection with mortgage-backed securities fraud. UBS was the last one to settle.
By Rajashree Chakravarty • Aug. 15, 2023 -
Custodia launches with US dollar deposits, preps crypto custody
The bank, which is engaged in a legal battle with the Fed, said it’s initially serving U.S. business customers only and awaiting final regulatory clearance to launch its bitcoin custody service.
By Anna Hrushka • Aug. 14, 2023 -
Trendline
Top 5 stories from Banking Dive
Banks brace to see if commercial real estate exposure will trigger a rerun of last year’s crisis. And regulators face a mountain of comments from the most contentious proposed rule in decades.
By Banking Dive staff -
Senators urge Fed to overhaul big-bank merger policy
A revamp is critical given the spate of regional bank failures this year, said Sen. Sherrod Brown, D-OH, and three others, who accused the central bank of approving mergers under an “old rubric.”
By Anna Hrushka • Aug. 10, 2023 -
6 CFO tips for handling the backlash against ESG
The ESG backlash has compelled companies to alter their sustainability strategies, including ensuring close alignment with core business goals, the Conference Board said.
By Jim Tyson • Aug. 9, 2023 -
New Fed unit to supervise crypto, nonbank partnerships
The central bank clarified that any state bank it supervises must get the regulator’s green light before issuing, holding or transacting in dollar tokens, such as stablecoins, to facilitate payments.
By Anna Hrushka • Aug. 9, 2023 -
Warren wants Goldman CEO to name bankers tied to SVB deals
The senator asked David Solomon to provide more specifics into his bank's dual role as an adviser to SVB and as a buyer of its assets.
By Dan Ennis • Aug. 9, 2023 -
Wells Fargo to pay $200M to settle WhatsApp probes
The San Francisco-based lender is one of 11 firms, including BNP Paribas, that reached settlements with the SEC on Tuesday, as U.S. regulators continue their crackdown on records retention violations.
By Anna Hrushka • Aug. 8, 2023 -
KeyBank misled investors on liquidity, lawsuit claims
The bank blamed marginal funding costs for its downward revision of net interest income, a shareholder said. But that adjustment came less than a week before confidence in regional lenders spiraled.
By Dan Ennis • Aug. 8, 2023 -
Lawmakers blast FDIC’s ‘feeble response’ to deposit misreporting
If left unchecked, the underreporting could lead to shortfalls to the Deposit Insurance Fund, which “could threaten the stability of the entire U.S. banking system,” warned Sen. Elizabeth Warren, D-MA, and Rep. Katie Porter, D-CA.
By Anna Hrushka • Aug. 7, 2023 -
Column
Could OceanFirst’s CRA troubles have tanked its proposed merger?
The New Jersey lender's CRA rating dropped to “needs to improve” around the same time it announced a merger with Partners Bancorp, a new OCC report shows. The deal fell apart in November 2022.
By Gabrielle Saulsbery • Aug. 4, 2023 -
Revolut halts US crypto trading
U.S. customers will no longer be able to buy tokens on the neobank’s platform as of Sept. 2, and crypto access for those users will be disabled a month later, the neobank said.
By Anna Hrushka • Aug. 4, 2023 -
Wells Fargo expects ‘significant increase’ in risk-weighted assets
The bank reacted to regulators' proposed changes to capital requirements in a filing Tuesday. It also estimated it would pay $1.8 billion to replenish the FDIC's Deposit Insurance Fund.
By Dan Ennis • Aug. 2, 2023 -
Banks plan to tighten credit: Fed
Despite greater caution among banks, economic growth accelerated during the second quarter.
By Jim Tyson • Aug. 1, 2023 -
Senate ‘making good progress’ on pot banking bill, Schumer says
There may be bipartisan agreement on SAFE Banking’s goal to help the cannabis industry enter the banking fold, but lawmakers are reportedly haggling over some of the bill’s details.
By Anna Hrushka • Aug. 1, 2023 -
Dream First acquires Heartland Tri-State in Kansas bank failure
Heartland "became insolvent due to an isolated event," the state regulator said. Dream First adds four branches, around $139 million in assets and $130 million in deposits.
By Rajashree Chakravarty • July 31, 2023 -
How banks could fit into Elon Musk’s plans for an ‘everything app’
The billionaire’s intent to bring the social media platform into the banking and payments landscape presents both opportunities and risks for traditional banks, experts said.
By Anna Hrushka • July 31, 2023 -
BNP Paribas may be next to settle WhatsApp probes by SEC, CFTC
The French bank has reached "proposed resolutions" with the regulators. And it disclosed that it set aside €125 million for litigation. But the bank declined to say whether the two moves were related.
By Dan Ennis • July 28, 2023 -
Fed fines UBS $268.5M over Credit Suisse’s Archegos ties
UBS “has already begun implementing its risk framework, including actions addressing these regulatory findings, across Credit Suisse,” the bank said in a statement Monday seen by Bloomberg.
By Dan Ennis • July 24, 2023 -
Banks’ restatements of uninsured deposits jump fourfold
Bank of America, for instance, reduced its reported uninsured deposits by $125.3 billion. The move comes as the comment period closes for the FDIC's special assessment fee.
By Rajashree Chakravarty • July 24, 2023 -
Senate bill would rein in SBA’s fintech lending plan
The legislation, which heads to the full Senate, is in response to the agency’s decision to end a 40-year moratorium on admitting new nonbank entrants to its 7(a) loan program.
By Anna Hrushka • July 21, 2023 -
Fed fines Deutsche Bank $186M over AML practices
Deutsche highlighted its “historic tardiness” in resolving 2015 and 2017 orders from the Fed, stemming from the bank’s relationship with the Estonia branch of Danske Bank.
By Rajashree Chakravarty • July 20, 2023 -
Q&A
Clair CEO welcomes on-demand pay regulation
Clair CEO Nico Simko weighed in on whether EWA is a payday loan and how the company offers fee-free wage access.
By James Pothen • July 20, 2023 -
Wells Fargo, Hello Alice team on $70M small-business fund
The fund is meant to increase banks' risk tolerance and help underserved small-business owners with credit enhancements and cash collateral deposits.
By Anna Hrushka • July 19, 2023 -
Cannabis fintech Dama Financial looks to double sponsor bank network
Dama Financial’s network of sponsor banks holds the deposits for cannabis-related businesses which, due to conflicting state and federal laws, often operate outside of the banking sector.
By Anna Hrushka • July 19, 2023 -
Barr acknowledges AI’s promise but warns of bias risk
The red flag is one of five takeaways from a speech Tuesday in which the regulator also touched on the status of the multiagency CRA revamp.
By Dan Ennis • July 18, 2023