BankThink

As the Consumer Financial Protection Bureau proposes new small-dollar lending rules, it has also sought comment on an alternative plan that would open the door to banks providing more lower-income credit solutions.

While the retail lobby won in the political arena and successfully decreased its costs through price-fixing, the biggest loser in this situation was the American consumer.

With new fintech investments tapering off and banks starting to get the hang of digital innovation, young companies need to take a hard look at their business models.

Receiving Wide Coverage ...Stumpf to the Hill: The Senate Banking Committee plans to question Wells Fargo CEO John Stumpf as pressure on the bank grows in light of the unauthorized accounts scandal. Several Wells executives are scheduled to brief panel members Tuesday prior to the hearing, which is scheduled for September 20. "Clearly there is a disconnect between whatever Mr. Stumpf was telling the public and what was actually going on at Wells Fargo — and that's putting it politely," Andrew Ross Sorkin writes in the New York Times DealBook section.

It is inevitable that the masses will adopt cryptocurrencies.

Heightened risk management standards and the "three lines of defense" are supposed to help banks ward off scandal, but they failed miserably.

The alleged practices at the heart of Well Fargo's settlement were fueled by a short-term incentive system that is detached from broader goals.

While troubling factors such as higher risk profiles may be behind the recent lending boom, the industry could also just be returning to the historical average for loan growth following the "Great Panic" of 2008-2010.

Receiving Wide Coverage ...It ain't over...: Wells Fargo's settlement last week didn't end its woes. While the bank was making apologies, officials were assessing the situation. Sen. Jeff Merkley, D-Ore., a member of the Senate Banking Committee, called on the panel to hold hearings to find out exactly what happened. A member of the Federal Reserve Board also weighed in. "What I have seen is that too many banks, instead of putting in place a comprehensive system for assuring that all their employees understand what is legal and ethical across the board, only respond when there is a particular problem," Fed Governor Daniel Tarullo said in an interview with CNBC. New York Times, Washington Post, American Banker

In the past, hackers have most often gone after specific merchants when seeking cardholder information. Recent attacks on point-of-sale (POS) vendors, however, may signal a drastic shift in how these cybercriminals operate, and certainly signal a need for application security for mobile payments.