No banks are safe (bail ins, FDIC limits, systemic risks)

[searcher]

If you think banks aren't safe now just imagine them without the FDIC.

Trump team mulls axing Great Depression-era agency that guards against bank failures: WSJ

President-elect Donald Trump's advisers, alongside tech billionaire Elon Musk's Department of Government Efficiency task force, are soliciting opinions from nominees on whether it would be possible for Trump to abolish the Federal Deposit Insurance Corporation, the Wall Street Journal reported Thursday.

For now, at least, the idea appears to be reorganizing its function rather than eliminating it outright. Trump's advisers "have asked the nominees under consideration for the FDIC, as well as the Office of the Comptroller of the Currency, if deposit insurance could then be absorbed into the Treasury Department, some of the people said," reported Gina Heeb.

More:

https://www.msn.com/en-us/money/oth...S&cvid=cd6a565b390b457da8af5197ba1641cb&ei=14

 

[pmbug]

^^ That doesn't mean the deposit insurance would be axed - just the current group of nincompoops managing it.

 

[searcher]

If you think banks aren't safe now just imagine them without the FDIC.

Trump team mulls axing Great Depression-era agency that guards against bank failures: WSJ

President-elect Donald Trump's advisers, alongside tech billionaire Elon Musk's Department of Government Efficiency task force, are soliciting opinions from nominees on whether it would be possible for Trump to abolish the Federal Deposit Insurance Corporation, the Wall Street Journal reported Thursday.

For now, at least, the idea appears to be reorganizing its function rather than eliminating it outright. Trump's advisers "have asked the nominees under consideration for the FDIC, as well as the Office of the Comptroller of the Currency, if deposit insurance could then be absorbed into the Treasury Department, some of the people said," reported Gina Heeb.

More:

https://www.msn.com/en-us/money/oth...S&cvid=cd6a565b390b457da8af5197ba1641cb&ei=14

^^ That doesn't mean the deposit insurance would be axed - just the current group of nincompoops managing it.

No More FDIC Under Trump? What's NEXT For Your Money?​

Dec 15, 2024 #jenniferlammer #bondbeginners #bondmasters

Why does Trump want to abolish the FDIC & will the deposit insurance at your bank go away? Plus, what should you do now?


13:45

SOURCES & REFERENCED VIDEO:

- LEARN MORE ABOUT HOW FDIC INSURANCE WORKS: https://youtu.be/txmXJBGU_70
- https://www.wsj.com/finance/regulation/trump-advisers-bank-regulations-fdic-efa761dc?mod=hp_lead_pos1
- https://newrepublic.com/post/189377/trump-economy-bank-regulator-plan
- https://nypost.com/2024/12/13/business/trump-aides-mull-abolishing-fdic-as-part-of-deregulation-spree/
- https://www.cato.org/blog/financial-alphabet-soup
- https://www.fdic.gov/https://x.com/SheilaBair2013/status/1867549143855431689

 

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US consumer watchdog sues big banks over 'widespread' fraud on Zelle payment app​

(Reuters) -The U.S. Consumer Financial Protection Bureau said on Friday it filed a lawsuit against JPMorgan Chase, Bank of America and Wells Fargo for failing to protect consumers from alleged "widespread fraud" on payments platform Zelle.

The lawsuit was initiated as the watchdog moves ahead with an aggressive agenda in the final weeks of Joe Biden's Democratic administration in a bid to advance consumer protections before President-elect Donald Trump overhauls the agency, said three people familiar with the agency's thinking. The moves defy congressional Republicans, who have called for agencies to cease rulemaking.

The CFPB seeks to stop the alleged unlawful practices, secure redress and penalties, and obtain other relief for consumers, it said in a statement.

"What they built became a goldmine for criminals," making it easy for fraudsters to drain accounts, while providing insufficient protections for consumers or making them whole for losses, CFPB Director Rohit Chopra told journalists in a briefing. "These banks broke the law by running a payments system that made fraud easy, while refusing to help the victims."

More:

https://www.msn.com/en-us/money/new...S&cvid=feaee75ba4ec40cfa034189d8fbf2ec0&ei=15

 

[pmbug]

A group of banks and business groups are suing the Federal Reserve over the annual bank stress tests.

The Bank Policy Institute, which represents big banks like JPMorgan, Citigroup and Goldman Sachs, is joining the American Bankers Association, the Ohio Bankers League, the Ohio Chamber of Commerce and the U.S. Chamber of Commerce to file the suit, which they said aims to “resolve longstanding legal violations by subjecting the stress test process to public input as required by federal law.”

The groups said they don’t oppose stress testing, but that the current process falls short and “produces vacillating and unexplained requirements and restrictions on bank capital.”

CNBC earlier reported on the plans to file a suit.

The Fed’s stress test is an annual ritual that forces banks to maintain adequate cushions for bad loans and dictates the size of share repurchases and dividends.

After the market close Monday, the Federal Reserve announced in a statement that it is looking to make changes to the bank stress tests and will be seeking public comment on what it calls “significant changes to improve the transparency of its bank stress tests and to reduce the volatility of resulting capital buffer requirements.”

The Fed said it made the determination to alter the tests because of “the evolving legal landscape,” pointing to changes in administrative laws in recent years. It didn’t outline any specific modifications to the framework of the annual stress tests.
...

https://www.cnbc.com/2024/12/24/biggest-banks-planning-to-sue-the-federal-reserve-over-annual-stress-tests.html

Shamtastic

 

[Voodoo]

I mean come-on we only have uncountable Quadrillions in derivatives. What's your problem man?

 

[searcher]

Bank of America Bond Losses Could Top $100 Billion Due to Rising Rates​

A sharp rise in rates since the end of the third quarter widened losses on bank securities portfolio and could become an investor issue again when banks start reporting their fourth-quarter results in the next week.

Bank of America has the largest unrealized losses in the banking industry and could be a focus of investor attention.

Barron’s estimates that Bank of America’s paper losses on a portfolio of $568 billion of bonds, mostly U.S. agency mortgage securities, could widen to $111 billion or more, compared with $86 billion at the end of September.

Industrywide, total unrealized losses could top $500 billion, up from $364 billion at the end of the third quarter. These losses involve all banks insured by the FDIC. The total potential losses would still be narrower than the nearly $700 billion at banks at the end of the third quarter of 2022.Why the wider losses recently? Bond prices move inversely with yields.

More:

https://www.msn.com/en-us/money/top...S&cvid=4f06a9570fa3462cbdbd053c27b41181&ei=28

 

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CFPB Sues Capital One for Cheating Consumers Out of More Than $2 Billion in Interest Payments on Savings Accounts​

WASHINGTON, D.C. – Today, the Consumer Financial Protection Bureau (CFPB) sued Capital One, N.A., and its parent holding company, Capital One Financial Corp., for cheating millions of consumers out of more than $2 billion in interest. The CFPB alleges that Capital One promised consumers that its flagship “360 Savings” account provided one of the nation’s “best” and “highest” interest rates, but the bank froze the interest rate at a low level while rates rose nationwide. Around the same time, Capital One created a virtually identical product, “360 Performance Savings,” that differed from 360 Savings only in that it paid out substantially more in interest—at one point more than 14 times the 360 Savings rate. Capital One did not specifically notify 360 Savings accountholders about the new product, and instead worked to keep them in the dark about these better-paying accounts. The CFPB alleges that Capital One obscured the new product from its 360 Savings accountholders and cost millions of consumers more than $2 billion in lost interest payments. The CFPB’s lawsuit seeks to stop the companies’ unlawful conduct, provide redress for harmed consumers, and impose civil money penalties, which would be paid into the CFPB’s victims relief fund.

Read more:

CFPB Sues Capital One for Cheating Consumers Out of More Than $2 Billion in Interest Payments on Savings Accounts | Consumer Financial Protection Bureau

The CFPB sued Capital One for cheating millions of consumers out of more than $2 billion in interest.

www.consumerfinance.gov

 

[Voodoo]

Now that sounds like the deceptive advertising we expect out of these low lifes.

 

[JayDubya]

So the next time Capital One asks "What's in your wallet?" we can honestly answer a lot less than there should be you dirty rotten sonsabitches.

 

[searcher]

CFPB Sues Capital One for Cheating Consumers Out of More Than $2 Billion in Interest Payments on Savings Accounts​

WASHINGTON, D.C. – Today, the Consumer Financial Protection Bureau (CFPB) sued Capital One, N.A., and its parent holding company, Capital One Financial Corp., for cheating millions of consumers out of more than $2 billion in interest. The CFPB alleges that Capital One promised consumers that its flagship “360 Savings” account provided one of the nation’s “best” and “highest” interest rates, but the bank froze the interest rate at a low level while rates rose nationwide. Around the same time, Capital One created a virtually identical product, “360 Performance Savings,” that differed from 360 Savings only in that it paid out substantially more in interest—at one point more than 14 times the 360 Savings rate. Capital One did not specifically notify 360 Savings accountholders about the new product, and instead worked to keep them in the dark about these better-paying accounts. The CFPB alleges that Capital One obscured the new product from its 360 Savings accountholders and cost millions of consumers more than $2 billion in lost interest payments. The CFPB’s lawsuit seeks to stop the companies’ unlawful conduct, provide redress for harmed consumers, and impose civil money penalties, which would be paid into the CFPB’s victims relief fund.

Read more:

CFPB Sues Capital One for Cheating Consumers Out of More Than $2 Billion in Interest Payments on Savings Accounts | Consumer Financial Protection Bureau

The CFPB sued Capital One for cheating millions of consumers out of more than $2 billion in interest.

www.consumerfinance.gov

Jennifer's take.

JUST IN: Capital One "High-Yield" Savings Account: Were You Cheated Out Of Interest?​

Jan 16, 2025 #jenniferlammer #bondbeginners #bondmasters

Capital One is being sued for cheating customers out of $2+ billion in interest payments on their savings accounts by the Consumer Financial Protection Bureau - were you impacted; might you even be entitled to some belated interest payments & what now?


9:30

SOURCES:

- https://www.consumerfinance.gov/about-us/newsroom/cfpb-sues-capital-one-for-cheating-consumers-out-of-more-than-2-billion-in-interest-payments-on-savings-accounts/
- https://www.capitalone.com/bank/savings-accounts/online-performance-savings-account/
- https://banks.data.fdic.gov/bankfind-suite/financialreporting
- https://apnews.com/article/capital-one-sued-360-savings-cfpb-1e902f1eb5aabef8297640b0d5579a25