BankThink

JOBS Act Is Boon to Small Banks, But SEC Can Do More

06/09/16

The Securities and Exchange Commission has given community banks and other small companies more flexibility to issue private stock, but even more flexibility should be granted to fulfill congressional intent.

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Will a Cyberattack Cause the Next Big Bank Failure?

06/09/16

Regulators need to start paying attention to "denial-of-system" attacks as one of the triggers that could bring down a systemically important institution.

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Morning Scan: CFPB Dodging FOIA; Living Will Deadline Extended

06/09/16

Wall Street Journal

Online lender Prosper has paused its relationships with loan-referral websites LendingTree and Credit Karma as it works to get investors to buy more loans. Marketplace lenders have been facing a slowdown and waning investor confidence, especially since events at rival Lending Club led to the ousting of its chief executive. Prosper's lending volume is expected to fall in the second quarter. It fell 12% in the first quarter from the fourth quarter of...

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Better Data Is Key to Bank Alternatives to Payday

06/08/16

Fintech firms and banks should collaborate on using alternative data sources to qualify more borrowers for small-dollar loans.

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CFPB Needs a Rule to Regulate Debt Collection

06/08/16

Without the Consumer Financial Protection Bureau setting specific debt collection guidelines Â-- including what technology agencies can use Â-- the industry will continue a practice that harms consumers: lawsuits.

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Morning Scan: Lending Club Twist; Post-Crisis Blame Game

06/08/16

Receiving Wide Coverage ...

Treading Water: Renaud Laplanche, co-founder and former chief executive of Lending Club, is rumored to be in talks with banks and private equity firms regarding financing a buyout of the online lender. After his ousting in May, Laplanche had engaged the firms in preliminary talks about acquiring and taking Lending Club private, though they may not lead to a deal. Meanwhile, Lending Club has postponed its annual meeting to June 28 because...

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CFPB Payday Rule Addresses the Problems, Not the Solution

06/07/16

We need a variety of small-dollar credit products to meet a variety of consumer needs. So the Consumer Financial Protection Bureau's proposed payday plan must provide more flexibility.

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Morning Scan: Undoing Dodd Frank; Wells Fargo Makes Plans

06/07/16

Receiving Wide Coverage ...

Dodd-Frank Replacement Plan: House Financial Services Committee Chairman Jeb Hensarling has a plan to revamp the Dodd-Frank Act and replace it with a capital-based alternative, which banks could opt into if they meet certain requirements, like a 10% leverage ratio (U.S. banks are currently required to meet a leverage ratio of 6%). "Think of it as a market-based, equity-financed Dodd-Frank off ramp," that will "relieve financial institutions from regulations that create more...

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Governments Should Just Butt Out of Payments Competition

06/07/16

Global trade protectionism in other countries increasingly poses an obstacle to keep the market for payments networks competitive.

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A Neobank's Prognosis for Neolithic Banks

06/06/16

Embracing technology that gives innovators access to their platforms will provide banks with the upgrade they sorely need.

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