Key insight: As the Trump era banking agenda rolls on, a holdover appointee from the Biden administration says the benefits are not being evenly distributed. Expert quote: “The share of executive compensation as a share of revenue went up by 18% from last year and the share buybacks are up 66%. That’s not benefiting communities […]
Fed’s Barr: Regulatory relief increased big bank profits, not lending Read More »
Russell Vought, acting director of the Consumer Financial Protection Bureau.Bloomberg News Processing Content Key insight: The new CFPB rule protects lenders from being penalized for unintentional discrimination, including in cases involving automated algorithms and credit models. What’s at stake: The new rule narrows the legal definition of “discouragement,” making it easier for banks to avoid
CFPB sued over new rule that would weaken fair-lending laws Read More »
Key insight: In research published Tuesday, the New York Fed explored the question of how the end of pandemic-era forbearance on student loans may negatively affect other consumer-lending segments. Supporting data: Of the borrowers who defaulted on their student loans in the first quarter of this year, 40% were also delinquent on auto loans, and
Late student-loan payments are rising. Is a domino effect coming? Read More »
Key insight: Banks’ reliance on third-party software vendors and core providers may be eroding, according to Fifth Third consumer lending head Jay Plum. What’s at stake: Rather than scrambling to prepare for an annual exam, AI will prompt banks to conduct ‘mini reviews,’ making the exam process much easier. Expert quote: “AI changes the nature
Fifth Third official: AI will help banks ‘out-code’ vendors Read More »
Retail mortgage lender Rate is welcoming a new president of consumer lending to help the company further expand beyond mortgage. Processing Content Adam Boyd, a veteran financial services executive with more than 25 years of experience building and scaling consumer lending businesses, will head the growth of Rate’s consumer lending platform, the lender said in
Rate looks to scale consumer lending business with new hire Read More »
Key insight: New York’s Medallion Financial is counting on a newly hired home-improvement lending team to boost loan growth in 2026. Supporting data: At the one-time taxi lender, medallion loans now comprise less than 1% of total loans. Expert quote: “The last five years, we’ve made more than we have in the first 85 combined.
Medallion stresses home improvement to drive 2026 growth Read More »
Key insight: Attackers are bypassing technical security by impersonating IT staff and tricking employees into handing over credentials. What’s at stake: The leak hits Figure during a critical financial window, coinciding with the pricing and upsizing of a secondary stock offering. Supporting data: The breach exposes approximately 967,000 unique email addresses, along with names, physical
Data breach hits 1 million Figure customers Read More »
Key insight: A report from the White House Council of Economic Advisers claimed that the Consumer Financial Protection Bureau’s rules raised consumer interest rates and reduced the availability of credit since its inception. Supporting data: The report says the agency’s actions raised consumers’ borrowing costs by between $237 to $369 billion over the 13 years
White House report says CFPB raised borrowing costs Read More »
Key insight: The three credit bureaus — Equifax, Experian and TransUnion — say the complaint portal is being abused by third-party credit repair firms and AI bots. What’s at stake: Credit repair firms are using the CFPB’s complaint portal to try to remove accurate but negative information from credit reports. Supporting data: Credit reporting complaints hit
CFPB implements new requirements for complaints on its portal Read More »
Forward look: Wells Fargo is projecting $50 billion in 2026 net interest income, a 5% increase over the 2025 result. Expert quote: “The cash flow, the spending levels, the credit performance has all been quite good so far.” — Chief Financial Officer Mike Santomassimo, commenting on Wells’ consumer results Supporting data: Wells’ total assets reached
Strong consumer results push Wells Fargo profits higher Read More »