PayThink

The first thing President Obama should have done after Larry Summers’ withdrawal was nominate Janet Yellen to be Fed chairman. Appointing the first woman to lead the Fed should be a historic moment. Obama has turned it into a consolation prize.

Incessant lawsuits and enforcement actions convert a taxpayer problem into a shareholder concern, immune to lobbying efforts. The surge will lead to restructuring efforts, including spinoffs, as managers seek to simplify operations and improve performance.

Widespread adoption of same-day settlement will level the competitive playing field for all financial institutions and allow all account holders to benefit from expedited settlement.

Many regulators and pundits overlook the distinct difference between responsible lenders who offer a safe, reliable loan product, and unscrupulous lenders who commit fraudulent acts and scam consumers.

Policy reform efforts will fall short until bankers at the largest institutions stop worshiping complexity, prioritize service and long-term relationships, and encourage employees to pipe up rather than hide problems.

Having one risk expert on the board’s risk committee is better than none, but a bit like having a general physician in an operating room when a heart surgeon, oncologist or anesthesiologist is needed.

Gen Y'ers are actually not all that different from previous generations when it comes to financial services. They like the touch and feel of the real world.

Frank Diekmann takes a look at the perpetual chase after young customers, and finds perspective is much needed.

Expanding the NCUA Board from three to five members and reserving one of those seats for a person with state supervisory experience will help establish a more promising future for the credit union movement.

A recap of the informed opinions (and the discussions they generated) on BankThink this week.