The Federal Deposit Insurance Corporation board approved a rule that would give depositors at the 32 largest banks faster access to a failed bank's insured funds. The board also approved a rule that considers evidence other than signatures to prove a bank account was jointly-owned.
Twenty-eight percent of consumers had one or more debts in collections from 2004 to 2018, and 58% of third party collections was medical debt, according to a report from the Consumer Financial Protection Bureau. About 20% of the debt was for utilities or telecommunications, according to the report.
Bank of America has about 16 million millennial customers representing $200 billion in deposits, loans and investments, according to Bank of America CEO Brian Moynihan. Having a digital strategy is important in attracting millennials, and 25% of all of Bank of America's consumer banking sales are digital.
The Federal Reserve found most people would rather pay their important bills through checks, and changing overdraft protection could harm consumers, writes David Pommerehn, senior vice president and associate general counsel at the Consumer Bankers Association.
The North Carolina Commissioner of Banks approved the proposed merger of BB&T and SunTrust Banks. The merger still needs approval from the Federal Reserve Board, and the House Financial Services Committee holds a hearing on the merger next week.
The ongoing trade dispute with China, a slowing global economy and inflation below the Federal Reserve's target level could lead the Fed to act aggressively in cutting interest rates. John Williams, vice chairman of the Fed's rate-setting committee said policymakers should not wait until problems happen while Fed Board of Governors Vice Chair Richard Clarida made similar remarks, saying, "You don't want to wait until data turns decisively if you can afford to."
The Federal Reserve's latest Beige Book shows businesses expect modest economic expansion, aided by an increase in consumer spending, but concerns remain about trade negotiations. Some businesses surveyed report difficulty in attracting workers.
Bank of America and JPMorgan Chase have posted record-breaking profits for the second quarter, while Wells Fargo also has reported an upturn, despite concerns that a recession might be approaching. Bank chiefs have commented positively on earnings reports, with JPMorgan CEO Jamie Dimon saying, "I wouldn't get too pessimistic yet."
Congress faces a challenge to pass legislation to raise the debt ceiling before the summer recess, thus avoiding a default. House Speaker Nancy Pelosi, D-Calif., wants a vote before the House's last day July 26 so the Senate can act before it adjourns the following week.
Less than one third of elder financial exploitation cases recorded by banks were reported to adult protective services or law enforcement, according to the Consumer Financial Protection Bureau. The CFPB is encouraging financial institutions to fill out suspicious activity reports and submit them to the appropriate authorities.
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