WASHINGTON — Twelve Democratic senators are calling on banks to follow the lead of Citigroup and Bank of America in limiting their business with firearms dealers in light of recent mass shootings.
The senators, led by Dianne Feinstein of California and Brian Schatz of Hawaii, wrote letters to 11 banks — including Wells Fargo, JPMorgan Chase and Morgan Stanley — endorsing corporate policies that raise the minimum age to purchase firearms, require background checks on sales, and prohibit the sale of high-capacity magazines, bump stocks and assault-style weapons.
“We applaud this model of corporate responsibility and we hope that this is the path forward for similar financial entities,” the senators said. “There is a growing consensus in the private sector that companies can and should take action to address the problem of gun violence in our country.”
The letter comes as Republicans have criticized BofA and Citi's stances, while on the other side the New York State Department of Financial Services has urged state-chartered banks to reassess any ties with the National Rifle Association and other groups, citing reputational risk concerns.
Citi banned retailers that use the bank from offering bump stocks and selling guns to underage customers or those who haven’t passed background checks. BofA said it would stop making loans to companies that manufacture assault-style weapons used for nonmilitary purposes. Wells Fargo, on the other hand, has said that lawmakers, not companies, should set gun policy.
Brendon Falconer, finance chief of the Indiana company since 2019, faces felony child molestation charges. But CEO James Ryan says management is focused on the CapStar integration and organic growth.
Institutions and their investors are facing pressure from climate activists, cautiously awaiting interest rate cuts and adjusting to new Federal Reserve and FDIC policies.
A new Citizens Bank survey suggests rising check-fraud incidents are driving middle-market companies to accelerate plans to fully adopt digital payments. But 70% of all businesses will continue to rely on checks for years to come, according to recent data from the Association for Financial Professionals.
After several quarters of slumping investment banking and trading fees, the Charlotte, North Carolina-based company reported a big uptick from that division, which helped compensate for a large decline in net interest income.