Banking

Discover Financial Services will refund $16 million to consumers and pay a $2.5 million penalty to resolve U.S. Consumer Financial Protection Bureau claims that the bank engaged in illegal student loan servicing practices.

A fifth of the financial institutions that participated in the Small Business Lending Fund have fully left the program and an increasing number of banks are joining them before the dividend rate jumps to 9% next year.

HomeTrust Bancshares in Asheville, N.C., will close six branches in North Carolina and Tennessee.

Citigroup Inc. is preparing to bundle more than $300 million of loans originated through Prosper Marketplace Inc. into securities as Wall Street helps fuel the online-lending industry, people familiar with the deal said.

Nobody enjoys the experience of making a payment — so a growing number of companies are likely to follow Uber's lead and make transactions so easy they're practically invisible. That means banks will have to ramp up their efforts to become customers' default cards.

Identity theft protection company LifeLock is coming under fire from the Federal Trade Commission for failing to adequately protect customers' credit card and bank account data, Social Security numbers and other sensitive personal information, among other allegations.

Two Florida men with connections to a $200,000-asset New Jersey credit union are being investigated by the FBI for running an unlicensed Bitcoin exchange for the purposes of money laundering.

ACA International recognized 18 members' outstanding accomplishments in the credit and collection industry at an awards ceremony this week at the 2015 Convention & Expo in Boston.

Business First Bank will use state tax credits to renovate a historic building in downtown Baton Rouge, La., and move its headquarters to the facility.

The FTC asserted Tuesday that LifeLock violated a 2010 settlement with the agency and 35 state attorneys general by continuing to make deceptive claims about its identity theft protection services and by failing to take steps required to protect its users’ data.

WASHINGTON — There were no birthday cakes or celebratory singing. Instead, the anniversary of the Dodd-Frank Act on Tuesday was commemorated with what the law does best: engender constant debate.

Regional banks are reporting strong commercial loan growth as they have for so many quarters. Yet this time it looks like more of the growth is coming from existing clients, and there are also some early warnings about credit challenges.

Rep. Nydia Velazquez, D-N.Y., ranking member of the House Small Business Committee, introduced a bill Tuesday that would allow the Small Business Administration to provide backing for more loans.

A spike in core deposits increased funding costs and contributed to margin compression at Synovus in the second quarter. But the company could benefit from locking in liquidity now, particularly when interest rates rise.

The new regulations are meant to close loopholes in an interest rate cap that applies to active-duty soldiers and sailors. But financial institutions won at least one important concession.

The new MBS program gives FHLB members direct access to the secondary market.

Porter Bancorp in Louisville, Ky., has agreed to pay $1.1 million to settle a lawsuit alleging mismanagement of a former client's employee stock ownership plan.

Law enforcement authorities arrested four people in Israel and Florida and revealed a complex securities fraud scheme tied to the computer hacks of JPMorgan Chase & Co. and other financial institutions.

They're not ready to go all-in by putting core processing in the cloud, but community banks are experimenting with hybrid and quasi-cloud arrangements that offer low costs and rapid deployment.

Regions Financial in Birmingham, Ala., reported higher quarterly profit on stronger fee income.