BankThink

Contrary to industry representatives' opinion, overdraft rules are necessary for a service that has become a revenue driver for banks.

Breaking News This Morning ...

ECB QE Expansion: While the Fed considers a rate hike, central bankers across the pond appear did the opposite. The European Central Bank Thursday increased stimulus in the face of low inflation. The ECB slashed the deposit rate to -0.30% from -0.20%. Inflation in Europe remains well off where central bankers want it to be, at 0.1% versus the desired 2%. The effects of this QE expansion though are unclear, according...

Receiving Wide Coverage ...

Highway Bill Win for Small Banks: Bipartisan discussions in Congress have generated a $300 billion bill to address highway funding and shortfalls in the Federal Highway Trust Fund. Talks on how to pay for the bill had focused in large part on the Fed — in particular cuts to its dividends to banks and its rainy-day fund, moves that were opposed by the banking industry. Small banks have reason to celebrate however,...

Receiving Wide Coverage ...

U.K. Stress Test Results Are In: U.K. banks passed the Bank of England's stress tests — albeit without flying colors — reducing the pressure on the institutions to hold more capital. Overall, the U.K. banking industry appears prepared to meet all the requirements due by 2019, the Wall Street Journal reports, including more stringent requirements regarding risks in trading and mortgage books. Despite the celebratory notes of the Bank of England's announcement,...

With the Consumer Financial Protection Bureau's disclosure rule potentially slowing down the loan process, institutions need to focus on communication strategies to keep young borrowers at the closing table.