BankThink

Receiving Wide Coverage ...Call in the SEC: Three Democratic senators, led by Sen. Elizabeth Warren, D-Mass., asked the Securities and Exchange Commission to investigate whether Wells Fargo "violated laws by misleading investors and firing whistleblowers while the bank oversaw the creation of millions of unauthorized, fraudulent accounts," according to the Wall Street Journal. The situation at Wells does "justify an investigation into at least three types of securities law violations," according to the letter the senators sent to the SEC, including signing off on inaccurate financial reports, failing to disclose the fake accounts scandal, and firing employees who tried to report wrongdoing.

Generation Z, the generation following what is commonly referred to as the Millennials, has only just formed its identity, yet its older members are already preparing to enter the workforce and take part in modern commerce.

If stories like the Wells Fargo scandal are repeated at other institutions, U.S. banks could soon experience the same reputational and regulatory fate of their cousins in the United Kingdom.

A new wave of exciting innovation is presenting businesses with opportunities to improve processes and the consumer experience.

Breaking News This Morning ...Deutsche sells insurer: Deutsche Bank, which is under heavy pressure to raise capital, said Wednesday it sold its Abbey Life insurance unit to Phoenix Group Holdings for $1.22 billion. The bank's stock, which hit a 33-year low earlier this week, as it faces a potential $14 billion penalty in the U.S. for allegedly selling toxic mortgage-backed securities, in addition to other problems, including a failed stress test and weak quarterly earnings. The sale, however, will result in a nearly $900 million loss for the German bank. The BBC reported Wednesday morning that Germany is devising a bailout plan, should one be needed, although the bank denied the report. Wall Street Journal, Financial Times, New York Times

It looks like the U.S. market will finally join a large number of other countries and offer real-time payments—but can ubiquity be achieved?

Concerns about cross-selling run deeper than the risk of misbehavior. The practice also has a questionable economic rationale.

The bad-news stories about the largest institutions are worrisome in light of housing finance proposals that could benefit the big banks even more.

Receiving Wide Coverage ...Good news, bad news: Federal Reserve Governor Daniel Tarullo had some good news and some bad news for U.S. commercial banks on Monday. First, he said the Fed is proposing easing stress-test requirements for banks with less than $250 billion in assets that don't engage in significant nonbank or international activity. But the central bank is also considering a separate proposal, to be issued sometime next year, that would have the effect of "significantly" raising capital requirements for the largest banks that are considered "systemically important," meaning the eight largest.

Data breaches aren’t going away. What’s also frustrating for those tasked with protecting data is that poor consumer habits regarding online security aren’t going away, either. Weak passwords shared across all online accounts continue, despite ever-growing threats.