{"id":8751,"date":"2024-11-29T05:09:18","date_gmt":"2024-11-29T05:09:18","guid":{"rendered":"https:\/\/finderica.com\/usaa-missteps-cfpb-uncertainties-and-more-november-top-news\/"},"modified":"2024-11-29T05:09:18","modified_gmt":"2024-11-29T05:09:18","slug":"usaa-missteps-cfpb-uncertainties-and-more-november-top-news","status":"publish","type":"post","link":"https:\/\/finderica.com\/?p=8751","title":{"rendered":"USAA missteps, CFPB uncertainties and more November top news"},"content":{"rendered":"
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Enjoy complimentary access to top ideas and insights \u2014 selected by our editors.<\/p>\n<\/div>\n<\/div>\n<\/div><\/div>\n

In November’s roundup of top banking news, an in-depth analysis of the numerous missteps casting doubt on the reputation of USAA, the Consumer Financial Protection Bureau continues to crack down on banks and other financial institutions in the face of its uncertain future, predictions for President-elect Donald Trump’s impact on the banking industry and more.<\/p>\n

Click here<\/u><\/ps-link>\u00a0to read last month’s roundup of banking news.<\/p>\n

‘Fundamental breakdown’: How USAA landed in regulators’ hot seat<\/h2>\n

Article by <\/i>Polo Rocha<\/i><\/ps-link>\u00a0and <\/i>Sanford Nowlin<\/i><\/ps-link><\/p>\n

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This article has been co-published with the San Antonio Current.<\/i><\/p>\n

Few companies can match USAA’s stellar reputation, gained over a century of offering financial products to military members. But behind the scenes, the San Antonio bank and insurer is navigating a minefield of its own making.<\/p>\n

USAA’s banking arm has grown its customer base for years, all while failing to make the investments needed to keep both its regulators and some decades-long customers happy, according to a joint investigation by American Banker and the San Antonio Current.<\/p>\n

A series of regulatory penalties hasn’t sparked enough internal change. Neither has the reshuffling of key leaders, the latest move being the upcoming retirement of CEO Wayne Peacock. Another problem: nonexistent profits at USAA’s bank, which has turned to layoffs to cut costs.<\/p>\n

Click here<\/ps-link> to read the full article.<\/p>\n

Trump wins presidency, ushering an era of less regulation for banks<\/h2>\n

Article by <\/i>Claire Williams<\/i><\/ps-link><\/p>\n

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Eva Marie Uzcategui\/Bloomberg<\/p>\n<\/p><\/div>\n<\/figure>\n<\/div><\/div>\n

Donald Trump was elected the president of the United States. Trump put up a strong showing on Nov. 5, gaining ground in nearly all corners of the country. He claimed Georgia, Pennsylvania and Wisconsin, all swing states he lost in 2020.\u00a0<\/p>\n

“We overcame obstacles that nobody thought possible,” Trump said in his victory speech in West Palm Beach, Fla.\u00a0<\/p>\n

Click here<\/ps-link> to read the full article.<\/p>\n

Changes coming to the Fed in a Trump presidency<\/h2>\n

Article by <\/i>Kyle Campbell<\/i><\/ps-link><\/p>\n

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Donald Trump’s\u00a0return to power<\/u><\/ps-link>\u00a0all but guarantees that\u00a0changes are coming<\/u><\/ps-link>\u00a0to the Federal Reserve Board of Governors, but the range of potential shake-ups varies widely.\u00a0<\/p>\n

At a minimum, Trump will have the opportunity to appoint two governors to the board during the coming four years and determine the leadership of the body. He also suggested he would attempt to\u00a0exert more influence<\/u><\/ps-link>\u00a0over monetary policy and advisors in his orbit have called for more\u00a0substantial changes<\/u><\/ps-link>\u00a0to the central bank.<\/p>\n

And, in the waning weeks of the campaign, reports surfaced that Trump could\u00a0try to demote<\/u><\/a><\/ps-link>\u00a0the Fed board’s top regulatory official, Vice Chair for Supervision Michael Barr.\u00a0<\/p>\n

Click here<\/ps-link> to read the full article.<\/p>\n

Trump will change the CFPB’s course \u2014 but how much is unclear<\/h2>\n

Article by <\/i>John Heltman<\/i><\/ps-link><\/p>\n

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With President-elect Donald Trump’s\u00a0victory in the Nov. 5 election<\/u><\/ps-link>, expectations are rising that the next administration will make dramatic changes at the Consumer Financial Protection Bureau, an agency that has vexed industry since Director Rohit Chopra took office in 2021.<\/p>\n

But some observers say that, while the next administration will certainly change the agency’s trajectory, those modifications may be more limited in their scope than the bureau’s most ardent opponents would prefer.<\/p>\n

Richard Horn, co-managing partner of Garris Horn and a former senior counsel and special advisor at the CFPB, said the appointment of noted CFPB critic Mick Mulvaney as acting director in President Trump’s first term was a signal that the administration intended to handcuff the agency from doing anything of consequence. But instead of appointing Mulvaney or someone similarly aligned as the permanent director, the administration instead appointed Kathy Kraninger, who cut a more moderate path at the agency.<\/p>\n

Click here<\/ps-link> to read the full article.<\/p>\n

Republicans to Visa and Mastercard: Figure it out, or we will<\/h2>\n

Article by <\/i>Claire Williams<\/i><\/ps-link><\/p>\n

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Sen. Lindsey Graham, R-S.C.<\/figcaption>

Andrew Harrer\/Bloomberg<\/p>\n<\/p><\/div>\n<\/figure>\n<\/div><\/div>\n

Lawmakers on both sides of the aisle pressed executives from Visa and Mastercard on the cost of so-called swipe fees to small businesses and consumers.\u00a0<\/p>\n

Notably, Republican lawmakers \u2014 who will have full control of the White House and Congress for the next two years \u2014\u00a0 signaled openness to\u00a0legislation that would require banks<\/u><\/ps-link>\u00a0with more than $100 billion in assets to offer retailers the choice between two unaffiliated card networks, one of which cannot be Visa or Mastercard.\u00a0<\/p>\n

The legislation is\u00a0currently cosponsored by Sen. JD Vance, R-Ohio<\/u><\/ps-link>,<\/u>\u00a0who is also the vice president-elect. It’s unclear whether the legislation will have the backing of the White House under the incoming Trump administration, or whether the next administration will continue pursuing\u00a0an antitrust case brought by the Department of Justice against Visa<\/u><\/ps-link>.\u00a0<\/p>\n

Click here<\/ps-link> to read the full article.<\/p>\n

After Okla. bank failure, Chopra calls for expanded deposit insurance<\/h2>\n

Article by <\/i>Claire Williams<\/i><\/ps-link><\/p>\n

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Consumer Financial Protection Bureau Director Rohit Chopra<\/figcaption>

Ting Shen\/Bloomberg<\/p>\n<\/p><\/div>\n<\/figure>\n<\/div><\/div>\n

Consumer Financial Protection Bureau Director Rohit Chopra is asking Congress to reconsider deposit insurance limits after the\u00a0failure of an Oklahoma bank<\/u><\/ps-link>\u00a0will likely cause some to take a haircut on their deposits.\u00a0<\/p>\n

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.\u00a0<\/p>\n

This puts the failure of this small bank in sharp contrast with the much larger Silicon Valley Bank and Signature Bank, which failed last year. Regulators at that point announced a systemic risk exception, which means that many of the large companies with uninsured deposits at those institutions were able to access their money in full.\u00a0<\/p>\n

Click here<\/ps-link> to read the full article.<\/p>\n

How CFPB is cracking down on banks before Trump takes office<\/h2>\n

Article by <\/i>Frank Gargano<\/u><\/ps-link><\/p>\n

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In the wake of President-elect Donald Trump’s\u00a0Nov. 5 win<\/u><\/ps-link>, change has become the only certainty on the Consumer Financial Protection Bureau’s path forward. Bankers hope the agency will be more favorable to the industry under the next administration but remain wary of their chances for success.<\/p>\n

When CFPB Director Rohit Chopra\u00a0was appointed to his role<\/u><\/ps-link>\u00a0in September 2021, Republican legislators worried that his vocal skepticism toward big tech companies as an FTC commissioner was a sign that he would work to reinstitute Obama-era enforcement practices they said were overreaching.<\/p>\n

Former Sen. Pat Toomey, R-Pa., then-ranking member of the Senate Banking Committee, said Chopra would return the CFPB to “the rogue, unaccountable, anti-business agency that it was during the Obama administration.”<\/p>\n

Click here<\/ps-link> to read the full article.<\/p>\n

Trump win likely to delay Basel III, imperil Biden bank regulation<\/h2>\n

Article by <\/i>Ebrima Santos Sanneh<\/i><\/ps-link><\/p>\n

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The incoming Trump administration is likely to lead to swift turnover at bank regulatory agencies, which would push finalization of\u00a0new capital standards<\/u><\/ps-link>\u00a0for large banks further down the road.\u00a0<\/p>\n

As president, Donald Trump has the ability to fire the leaders of the Office of the Comptroller of the Currency and the Consumer Financial Protection Bureau and appoint other financial regulatory heads when their terms expire. In his previous term, President Trump had a penchant for reducing regulation and initially tapped a CFPB director who sought to\u00a0curb his agency’s power<\/u><\/ps-link>.<\/p>\n

All of this suggests the Federal Reserve’s capital plan \u2014 known as the Basel III endgame \u2014 won’t be implemented soon.<\/p>\n

Click here<\/ps-link> to read the full article.<\/p>\n

Trump’s FDIC has work cut out for it in repairing culture<\/h2>\n

Article by <\/i>Ebrima Santos Sanneh<\/i><\/ps-link><\/p>\n

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After months of\u00a0complaining<\/u><\/ps-link>\u00a0about the\u00a0pace and earnestness<\/u><\/ps-link>\u00a0of the Federal Deposit Insurance Corp.’s efforts to turn around a\u00a0pervasive culture<\/u><\/ps-link>\u00a0of sexual harassment and discrimination at the agency, Republicans will soon take the reins of the agency \u2014 and custody of the problem.\u00a0<\/p>\n

Current FDIC Vice Chairman Travis Hill and Board Director Jonathan McKernan \u2014 both Republicans \u2014 have long called for fast-tracking measures to promote accountability and replace agency leadership after a report by law firm Cleary Gottlieb in April found pervasive instances of sexual misconduct and a retaliatory culture at the agency.\u00a0<\/p>\n

McKernan said in an interview he believes it is time to turn the page on FDIC leadership.<\/p>\n

Click here<\/ps-link> to read the full article.<\/p>\n

Congress turns back to banking in Trump’s Washington<\/h2>\n

Article by <\/i>Claire Williams<\/i><\/ps-link><\/p>\n

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Sen. Tim Scott, R-S.C.<\/figcaption>

Andrew Harrer\/Bloomberg<\/p>\n<\/p><\/div>\n<\/figure>\n<\/div><\/div>\n

A quiet few years for bankers on the legislative front could be over under a second term of President-elect Donald Trump, experts said.\u00a0<\/p>\n

And the rules made in Congress in the next few years might not be what bankers are used to under a Republican-controlled government. A new vein of populist Republican lawmakers may find common ground with progressive Democrats who are looking to appeal to economically disaffected voters who didn’t show up for them this election cycle.\u00a0<\/p>\n

Specifically, experts are looking at an unlikely power duo made up of\u00a0 Sens. Tim Scott, R-S.C., and Elizabeth Warren, D-Mass., atop of the Senate Banking Committee as an example of what new Washington policymaking on banking issues could resemble.\u00a0<\/p>\n

Click here<\/ps-link> to read the full article.<\/p>\n<\/div>\n

Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Enjoy complimentary access to top ideas and insights \u2014 selected by our editors. In November’s roundup of top banking news, an in-depth analysis of the numerous missteps casting doubt on the reputation of USAA, the Consumer Financial Protection Bureau continues to crack down on banks and other financial institutions in the face of its uncertain<\/p>\n","protected":false},"author":1,"featured_media":8752,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rank_math_lock_modified_date":false,"footnotes":""},"categories":[218],"tags":[719,3133,61,1348,536,2059,3132],"class_list":{"0":"post-8751","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-banking","8":"tag-cfpb","9":"tag-missteps","10":"tag-news","11":"tag-november","12":"tag-top","13":"tag-uncertainties","14":"tag-usaa"},"_links":{"self":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts\/8751","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=8751"}],"version-history":[{"count":0,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts\/8751\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/media\/8752"}],"wp:attachment":[{"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=8751"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=8751"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=8751"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}