Frontwave Credit Union said it would acquire Community Valley Bank in a deal that would expand its footprint in San Diego and nearby counties. It comes on the heels of a record year for CU-bank combinations.

The Cleveland-based parent company of KeyBank is forecasting net interest income growth of about 20% for 2025, even as it predicts that average loan balances will decline by low-to mid-single digits year-over- year.

The Indiana-based company grew fourth-quarter loans and profits in part because of an acquisition in Nashville, and it expects to bulk up further with a deal in Minnesota's Twin Cities that was among the largest announced in 2024.

The Chicago-based bank, which failed Friday in the first bank failure of 2025, caused a $28.5 million hit to the Deposit Insurance Fund. The FDIC was appointed receiver and Millennium Bank will assume all deposits.

President Trump has promised to reduce banking regulations, a form of indirect tax or "bank tariff," that will help the banking industry. But, he also plans to impose new tariffs on imports that may adversely impact agricultural and manufacturing industries and thus their banks.

The super-regional bank plans to invest in talent, technology and certain locations in 2025, while keeping its expenses in check, to achieve the promise of the merger that created it, CEO Bill Rogers said.

A midweek rally followed robust bottom-line results from JPMorgan Chase, Wells Fargo, Bank of America and several other large banks. But further interest rate cuts may be needed to sustain momentum.

The chairman of the financial institutions panel of the House Financial Services Committee said his newly reintroduced bill has a considerable chance of passing with Republicans in control of both chambers of Congress and the White House.

Jane Fraser, CEO of Citigroup, told analysts she's not going to sacrifice growth-related investments for short-term gains. "You shouldn't want me to do that," she said.

Advisors predicted that more banks will do deals and those transactions will be larger in 2025 amid expectations for lighter regulatory scrutiny.