Deposits

IntraFi, R&T Deposit Solutions and other companies help banks capture and insure the entirety of their customers' balances — a cogent need in the aftermath of SVB.

In its first three months as a bank, the Boca Raton, Florida-based NewtekOne doubled the size of its deposit base by relying almost exclusively on certificates.

Since 2011, and in ever-growing volume, credit unions have been buying community banks. Some see it as the free market at work while bankers say this is another example of credit unions' unfair advantage.

After experiencing deposit growth above 11% in 2021, credit unions saw that figure drop to 3% last year. But some CEOs say funds are flowing in again in the wake of recent bank failures.

Unrealized losses on the company's balance sheet ballooned to more than $29 billion last year. At the same time, higher interest rates are encouraging customers to move their cash out of certain accounts that underpin Schwab's business.

Net interest margin, a key earnings metric, had been rising across the industry in recent quarters. Now it could suffer at the megabanks that have gained customers amid the turmoil of the last two weeks.

Treasury Secretary Janet Yellen repeated her comment from a day earlier that the government's recent actions were "taken to ensure that Americans' deposits are safe." She sought to clarify it with a new line: "Certainly, we would be prepared to take additional actions if warranted."

Citigroup CEO Jane Fraser said mobile apps and consumers' ability to move millions of dollars with a few clicks of a button mark a sea change for how bankers manage and regulators respond to the risk of depositor panics.

Regional bank shares slumped, dragging down the broader market, after Treasury Secretary Janet Yellen's comments and as Federal Reserve Chair Jerome Powell said he's prepared to keep raising rates until inflation shows signs of cooling.