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☆ DOGE aims to cut the number of federal workers. Here are the 20 highest-paying federal jobs.
▼ + stars: | 2024-11-23 | by ( Madison Hoff | Ayelet Sheffey | ) www.businessinsider.com time to read: +3 min

AdvertisementTrump's new Department of Government Efficiency aims to reduce the number of federal workers. Business Insider looked at the highest average salaries of federal civilian employees by occupation. The top 20 had average salaries over $160,000, with medical officers ranking No. Three of the five jobs with the highest average salaries were health-related. Financial analysis workers rounded out the top 20 highest-paying jobs on average; their largest employer, with about 300 analysts, was the Federal Deposit Insurance Corporation.

Persons: Donald Trump's, Elon Musk, Vivek Ramaswamy, Ramaswamy, Trump, Karoline Leavitt, Vance Organizations: of, Efficiency, Business, Trump's Department, Government, Tesla, GOP, Street Journal, Management, Department of Veterans Affairs, Federal Deposit Insurance Corporation, Department of Education, Department of Energy, Trump, mhoff

☆ 'I have no money': Thousands of Americans see their savings vanish in Synapse fintech crisis
▼ + stars: | 2024-11-22 | by ( Hugh Son | ) www.cnbc.com time to read: +9 min

Morris, like thousands of other customers, was snared in the collapse of a behind-the-scenes fintech firm called Synapse and has been locked out of her account for six months as of November. Then she learned how much Evolve Bank & Trust, the lender where her funds were supposed to be held, was prepared to return to her. The crisis started in May when a dispute between Synapse and Evolve Bank over customer balances boiled over and the fintech middleman turned off access to a key system used to process transactions. Synapse helped fintech startups like Yotta and Juno, which are not banks, offer checking accounts and debit cards by hooking them up with small lenders like Evolve. But that would've required more coordination between Evolve and the other lenders that held customer funds than what ultimately happened.

Persons: Oscar Wong, Kayla Morris, Morris, Andreessen Horowitz, Jelena McWilliams, Zach Jacobs, there's, Yotta, Adam Moelis, they've, Jacobs, Andrew Meloan, Meloan, I've, ” Zach Jacobs, McWilliams, McWilliams didn't, Rayburn, Tom Williams, hadn't, Judge Martin Barash, Natasha Craft, they're, Andreatte Caliguire Organizations: Evolve Bank & Trust, Synapse, Evolve Bank, ., CNBC, FedEx, Evolve, Deposit Insurance Corp, U.S, FDIC, Trump, Federal Reserve, Federal Deposit Insurance Corporation, Financial, Prudential Regulators, Megabanks, Depository, CQ, Inc, AMG, Lineage Bank, American Bank, Indiana FedEx Locations: Texas, Tampa , Florida, Yotta, Chicago, California, Mishawaka , Indiana

☆ Trump, surrounded by pro-crypto advisors, signals a 'step change' for the industry, says Galaxy's Novogratz
▼ + stars: | 2024-11-06 | by ( Tanaya Macheel | ) www.cnbc.com time to read: +2 min

It's the dawn of a new day for the crypto industry with Donald Trump now the president-elect of the United States, said Galaxy Digital's Michael Novogratz, calling out the numerous crypto advocates that have advised him. "We've got a Congress that is moving our way, we've got a president that's moving our way, and so for Galaxy and the crypto industry, that couldn't be more optimistic," he said on CNBC's "Squawk Box" Wednesday morning. "Those three positions, with someone who's open minded to crypto … changes everything," he said. And all of a sudden we'll start seeing decentralized systems launched and work so this is really a step change." The shift won't happen overnight, Novogratz warned, but as Trump starts to appoint people into various positions of leadership there will be "a substantial shift in the energy of this industry."

Persons: Donald Trump, Michael Novogratz, We've, we've, that's, Novogratz, Joe Biden, Trump, JD Vance, Peter Thiel, Howard Lutnick, Cantor Fitzgerald, Sen, Elizabeth Warren, Biden, Gary Gensler Organizations: Galaxy, Federal Deposit Insurance Corporation, Securities and Exchange Commission, Street, Bank of New, Silicon, SEC Locations: United States, U.S, Bank of New York

☆ Robinhood rolls out high-risk margin trading in the UK after getting regulator nod
▼ + stars: | 2024-10-21 | by ( Ryan Browne | ) www.cnbc.com time to read: +4 min

The launch of margin trading follows the recent approval of the product, after Robinhood held conversations with Britain's financial regulator, the Financial Conduct Authority (FCA). Margin trading is a rarity in the U.K., where regulators see it as more controversial because of the risks involved to users. Some platforms in the country limit margin trading for only high-net-worth individuals or businesses. In the case of margin trading, investors can use borrowed money to increase the size of their trades. At the time of launch, Robinhood was unable to offer U.K. users the option of margin trading, pending discussions with the FCA.

Persons: Rafael Henrique, Robinhood, Jordan Sinclair, Goldman Sachs, Morgan Stanley, Sinclair, we've, Robinhood's Sinclair, that's Organizations: Getty, Financial, Authority, Interactive, IG, CMC Markets, Robinhood, JPMorgan Chase, UBS, CNBC, FCA, U.S ., Federal Deposit Insurance Corporation Locations: U.S, Britain, Tesla

☆ Trump or Harris? Here are the 2024 stakes for airlines, banks, EVs, health care and more
▼ + stars: | 2024-10-13 | by ( Hugh Son | ) www.cnbc.com time to read: +18 min

Former President Donald Trump and Vice President Kamala Harris face off in the ABC presidential debate on Sept. 10, 2024. The previous Trump administration didn't pursue those types of consumer protections. In contrast, Democrats, including Harris, have historically supported EVs and incentives such as those under the Biden administration's signature Inflation Reduction Act. Meanwhile, Harris, if elected, can build on existing efforts of the Biden administration to deliver savings to more patients, they said. Trump also led multiple efforts to repeal the Affordable Care Act, including its expansion of Medicaid to low-income adults.

Persons: Donald Trump, Kamala Harris, he's, Harris, Joe Biden's, Trump, Pete Buttigieg, Jonathan Kletzel, didn't, — Leslie Josephs Banks Big, JPMorgan Chase, Biden, Tobin Marcus, it's, Sen, JD Vance, they're, Lindsey Johnson, Hugh Son, Pablo Di Si, EVs, Joseph Spak, Harris hasn't, Mike Wayland, Drugmakers, Trump hasn't, Mariana Socal, Annika Kim Constantino, David Zaslav, John Malone, Time Warner, Simon, Simon & Schuster, Marc DeBevoise, Jonathan Miller, Elon Musk's, Musk, I'm, MAGA, I'm Dark MAGA, —, TikTok, — Lillian Rizzo, Alex Sherman, Michael Lynn, — Amelia Lucas Organizations: ABC, Getty, U.S, Trump, Treasury, Justice Department, Federal Trade Commission, Consumer Financial, Bureau, CNBC, The Biden Department of Transportation, Democratic, American Airlines, JetBlue Airways, Spirit Airlines, Industry, Boeing, JPMorgan, Securities and Exchange Commission, Currency, Federal Deposit Insurance Corporation, Biden, Wolfe Research, Bank, Republican, Bankers, Democratic Party, Consumer Bankers Association, Republicans, Volkswagen Group of America, Automotive News, Environmental Protection Agency, UBS, Mike Wayland Health, Commonwealth Fund, Medicare, Johns Hopkins Bloomberg School of Public Health, Annika Kim Constantino Media, Paramount Global, Skydance, Warner Bros, Discovery, Allen & Co, Sun, Media, Disney, Fox Corp, Time, Simon &, Random, MGM, FCC, Integrated Media, Twitter, Capitol, White, Lawmakers, Meta's Facebook, Alex Sherman Restaurants, National Restaurant Association, National Labor Relations Board, Social Security, Washington Post, Cornell University Locations: United States, PwC, JetBlue's, U.S, China, Ohio, Michigan, California

☆ Yields on cash are cooling. Here are a few alternatives for your short-term dollars
▼ + stars: | 2024-10-01 | by ( Darla Mercado | Cfp | ) www.cnbc.com time to read: +5 min

It's only been two weeks since the Federal Reserve cut interest rates for the first time in more than four years, but investors are already getting paid less to park their extra cash. Central bank policymakers trimmed a half point from the fed funds rate in September, bringing it down to a range of 4.75% to 5%. That means that the days of 5% yields on idle cash are largely in the past, at least for the current cycle. Lock in with ladders Three key considerations for investors holding cash would be liquidity, yield and risk. For clients who want ready access to their cash, a high-yield savings account could be a solid bet, Sergunina said.

Persons: Jerome Powell, Arvind Narayanan, Anna Sergunina, Sergunina, Narayanan, Amy Arnott, isn't Organizations: Federal Reserve, Vanguard, Main, Financial, ., Federal Deposit Insurance, Morningstar, Bond, SEC Locations: Central, Los Gatos, Calif

☆ FDIC unveils rule forcing banks to keep fintech customer data in aftermath of Synapse debacle
▼ + stars: | 2024-09-17 | by ( Hugh Son | ) www.cnbc.com time to read: +2 min

The Federal Deposit Insurance Corporation on Tuesday proposed a new rule forcing banks to keep detailed records for customers of fintech apps after the failure of tech firm Synapse resulted in thousands of Americans being locked out of their accounts. That's what happened in the Synapse collapse, which impacted more than 100,000 users of fintech apps including Yotta and Juno. Customers with funds in these "for benefit of" accounts have been unable to access their money since May. Keeping better records would allow the FDIC to quickly pay depositors in the event of a bank failure by helping to satisfy conditions needed for "pass-through insurance," FDIC officials said Tuesday in a briefing. While FDIC insurance doesn't get paid out in the event the fintech provider fails, like in the Synapse situation, enhanced records would help a bankruptcy court determine who is owed what, the officials added.

Persons: Biden Organizations: Federal Deposit Insurance Corporation, FDIC, Federal Register, Bank, JPMorgan Chase

☆ Your Online Lender May Not Be a Bank. Here’s How to Keep Your Money Safe.
▼ + stars: | 2024-08-10 | by ( Rob Copeland | ) www.nytimes.com time to read: +1 min

If it looks like a bank, advertises like a bank and accepts money like a bank — it still might not be a bank. That is the lesson being meted out in painful fashion to tens of thousands of depositors who entrusted their savings to online-only lenders. But to the surprise of many depositors, these companies merely collect money and funnel it through intermediaries to banks. Because Synapse was not a bank, the F.D.I.C. insurance did not automatically apply, and now nearly $100 million of deposits have been frozen or lost.

Organizations: Federal Deposit Insurance Corporation, Synapse Financial Locations: U.S

☆ 23% of low-income Americans are living without a bank account
▼ + stars: | 2024-08-02 | by ( Genna Contino | ) www.cnbc.com time to read: +5 min

"When they don't see a financial institution or a bank, [they] tend to say, 'There's no avenue for me this way. Of 18- to 29-year-olds, 11% are living without a bank account, compared to 9% of 30- to 44-year-olds, 5% of 45- to 59-year-olds and 2% of people 60 and older, according to the Federal Reserve. People without bank accounts might also turn to check cashing services or consider payday loans, especially if they're the only brick-and-mortar financial services in their neighborhood. The Community Financial Services Association of America, which represents payday lenders, did not respond to a request for comment. "They're going out into the community, they're promoting their services into the community, they're creating programs specifically for the community," he said.

Persons: Sean Gladwell, Wole Coaxum, Joe Lugo, Lugo, that's, Darrin Williams, Williams, Harris, Winnie Sun, It's, Sun, Preston Duppins, Duppins, They're Organizations: Federal Reserve, Southern Bancorp, Inc, Finance, Sun, Wealth Partners, CNBC, Federal Deposit Insurance Corp, Federal Deposit Insurance Corporation, American Fintech Council, Wealth Management, Community Financial Services Association of America, Chamber, Commerce Locations: Clearwater , Florida, U.S, Irvine , California, Florida, Lugo, Pinellas County

The Best Banks and Credit Unions in GeorgiaCapital One 360 Checking: Best bank for opening a savings account and best online checking accountRegions Bank: Best bank for opening a checking accountDelta Community Credit Union: Best credit unionCredit Union of Atlanta: Best credit union, tiedAll of the financial institutions on our list are protected by FDIC or NCUA insurance. Some banks and credit unions that we recommend are Capital One 360, Regions Bank, Delta Community Credit Union, and Credit Union of Atlanta. We chose Delta Community Credit Union and Credit Union of Atlanta as the best credit unions in Georgia. Yes, there are U.S. banks and credit unions that operate in Georgia, such as Delta Community Credit Union and the Credit Union of Atlanta. Best Credit UnionYou might like Delta Community Credit Union if you want to use a credit union instead of a bank.

Persons: you'll, Sophia Acevedo, Tania Brown, It's, Mykail James, CFEI, Roger Ma, Sophia, Axel Springer, Education Sophia, Evelyn, Read Organizations: FDIC, Capital, Regions Bank, Delta Community Credit Union, Credit Union of Atlanta, Banks, Credit Unions, Georgia Capital, Bank, Delta Community Credit, Utah Free, Best, Truist, Truist Bank, Bank of America, Federal Deposit Insurance Corporation, National Credit Union Administration, Credit Union of, Credit Union of Atlanta . Georgia Bank, Business, Best Bank, Savings, Metro, Network, . Delta Community Credit Union, Delta Air Lines, US Citizen, Credit Union, The Credit Union of Atlanta, US Department of Treasury's, Financial, Fund . Credit Union of Atlanta, Atlanta ,, Better, Bureau, Regions, Consumer Financial, American, Finance, Education, California State University Fullerton, Angeles, Personal Finance Locations: Georgia, NY, LA, TX, VA, NJ, Washington, Metro Atlanta , Georgia, Kentucky , Texas, Atlanta, Chevron, Wells Fargo, U.S, Credit Union of Atlanta, There's, Metro Atlanta, Bahamas, Canada, Puerto Rico, Atlanta , Zoo Atlanta, California

If a bank fails, insured deposits will be moved to another FDIC-insured bank or paid out. Checking accounts, savings accounts, money market accounts, and certificates of deposit are examples of FDIC-insured bank accounts. Single bank accounts and joint bank accounts are examples of different ownership categories. If your bank closes and you had more than $250,000 in an individual bank account, you may be able to get a Receiver's Certificate. Steps to take after a bank failureIf a bank fails, the FDIC is in charge of managing its assets.

Persons: you'll Organizations: FDIC, Federal Deposit Insurance Corporation, Federal Deposit Insurance

How NCUA insurance compares to FDIC insuranceNCUA insurance is the credit union equivalent of FDIC insurance, which protects bank deposits. If your credit union does close, the NCUA will transfer your insured money to another credit union that's federally insured. NCUA insurance FAQsWhat exactly is NCUA insurance and how does it protect me? How does NCUA insurance compare to FDIC insurance? NCUA insurance is the credit union equivalent of FDIC insurance.

Persons: Here's, IRAs Roth IRAs KEOGH, Money that's, Roth IRAs, KEOGH, you'll, Keough Organizations: Federal Deposit Insurance Corporation, National Credit Union, National Credit Union Share Insurance, NCUA Credit, National Credit Union Administration Locations: Chevron

You can keep money in a bank account during a recession and it will be safe through FDIC and NCUA deposit insurance. Up to $250,000 is secure in individual bank accounts and $500,000 is safe in joint bank accounts. If you're concerned about whether money is safe in a bank during a recession, there's good news — your money will be likely secure in a bank account. Savings accounts, checking accounts, money market accounts, and CDs are examples of federally insured bank accounts. Up to $250,000 is secure in individual bank accounts, and $250,000 is protected per owner in joint bank accounts.

Persons: they're, Jeffrey Miron, Miron, Charles Calomiris, Maggie Gomez, Maggie, Gomez, You'll, Banks Organizations: FDIC, Pew Research, Federal Deposit Insurance Corporation, Harvard University, Columbia Business School, National Credit Union Administration, Bank, doesn't Locations: U.S, United States, Chevron

CD rates on terms of 12 months or less are currently higher than most longer-term CD rates. Opening a certificate of deposit (CD) can be a solid way to lock in predictable growth on your savings. This list specifically includes terms of 12 months or less because short-term CD rates are currently higher than long-term CD rates. 5% interest CD FAQsCan I easily find CDs offering 5% interest? Do all 5% interest CDs have high minimum deposits?

Organizations: Federal Deposit Insurance Corporation, Federal Reserve, Federal Locations: U.S, Chevron

High-yield savings accounts are like traditional brick-and-mortar savings accounts, but they generally offer much higher rates. Featured Nationally Available Deposit RatesBest High-Yield Savings Accounts TodayThe best high-yield savings accounts will have a strong interest rate, good perks, and national accessibility. The Different Types of Savings AccountsThere are six types of savings accounts: traditional savings accounts, high-yield savings accounts, money market accounts, certificates of deposit, cash management accounts, and specialty savings accounts. Alternatives to High-Yield Savings AccountsHigh-Yield Savings Accounts vs. CDsThe best CD rates are comparable to the best high-yield savings account rates. High-Yield Savings Accounts vs. Money Market AccountsMoney market accounts are similar to high-yield savings accounts, but they typically make it easier to access your savings.

Persons: hasn't, EagleBank, Ronald D, Paul, Webster, Forbright, You'll, Ivy Bank hasn't, Raisin, BMO Harris, you'll, Synchrony, they're, you've, Roger Ma, Mykail James, that's, it's, Sophia Acevedo, Tania Brown, we've Organizations: FDIC, Business, DCU, Federal Credit Union, Savings, Digital Federal Credit Union, BBB, Flagstar Bank, Securities and Exchange Commission, Western Alliance Bank, Yield, BrioDirect, Webster Bank, Forbright Bank, Federal Deposit Insurance Corporation, Ivy Bank, Cambridge Savings Bank, Better, Western Alliance, Raisin, BMO, BMO Alto, BMO Financial Group, I Bank, Bank, Better Business, Securities and Exchange, SEC, Cash, Synchrony, Governors, Federal Reserve, United States, Credit Union, Newtek Bank, Federal Locations: Massachusetts, New Hampshire, Virginia , Maryland, Washington, California , Nevada, Vermont, Maryland, Virginia, United States, California, Minnesota, Chevron

☆ 8 of the biggest stock market crashes in history — and how they changed our financial lives
▼ + stars: | 2024-07-19 | by ( Rebecca Reisner | Richard Richtmyer | ) www.businessinsider.com time to read: +20 min

While the triggers for stock market crashes vary, the ultimate outcome is always the same: the market recovers. Here's a summary of eight of the most notable stock market crashes in history, their causes, and their fallout. Stock market crash FAQWhat happens when a stock market crashes? Numerous things can cause a stock market to crash, including:PanicNatural or man-made disastersEconomic crisesSpeculationCan a stock market crash be prevented? Unlike a bear market, stock market corrections are often short and usually work themselves out.

Persons: It's, Terry Marsh, Here's, Stocks, Carola Frydman, J.P, Morgan, —, Blair Hull, Alan Greenspan, Marc Chandler, Marsh, weren't, Tyler Muir, Thai bhat, Paula Bronstein, Stringer, Chandler, chipmaker, WebVan.com, Muir, The, Lehman Brothers, NICHOLAS ROBERTS, homebuyers, Bear, Lehman, Fannie Mae, Freddie Mac, Dodd, Frank Wall, Europe —, Italy — Organizations: Federal Reserve System, SEC, FDIC, Haas School of Business, University of California, Federal Reserve, United Copper Company, UCC, Kellogg School of Management, Northwestern University, Federal, System, Dow Jones, Gross, Federal Deposit Insurance Corporation, Securities and Exchange Commission, Dow, Nasdaq, Chicago, Black, Bannockburn Global Forex, UCLA Anderson School of Management, Getty, Asia, International Monetary Fund, chipmaker Qualcomm, The Sarbanes, Oxley, Investors, Financial, Bear Stearns, Lehman Brothers, Nikkei, US, Asset, Frank Wall Street Reform, Consumer, Consumer Financial, Dow Jones Industrial, Center, Budget, Stock, Corrections Locations: University of California Berkeley, AFP, Iran, Bannockburn, Japan, Thai, Asia, Thailand, Malaysia, Indonesia, South Korea, COVID, China, Europe, Italy, Chevron

The Equal Credit Opportunity Act prohibits discrimination in credit transactions. However, it's worth acknowledging that things aren't as bleak as they were decades ago — and a big part of that credit goes to the enactment of the Equal Credit Opportunity Act. What is the Equal Credit Opportunity Act? The Equal Credit Opportunity Act (ECOA) is a federal law that promotes fairness and prohibits discrimination in credit transactions. Your rights under the Equal Credit Opportunity ActBefore applying for a loan or taking out a line of credit, make sure you know your rights under the Equal Credit Opportunity Act so you're not taken advantage of.

Persons: ECOA, I've, Dominic James Murray, Cameron James, JPMorgan Chase Organizations: Black, Regulation, United States, Independent, Southern, of New, JPMorgan Chase, JPMorgan, telltale, Chevron, Consumer Financial Protection Bureau, National Credit Union Administration, Federal Reserve Board, Federal Deposit Insurance Corporation, Department of Justice Locations: of New York, Chevron

☆ Ethereum co-founder warns against voting only on 'pro-crypto,' a day after a16z founders support Trump
▼ + stars: | 2024-07-17 | by ( Mackenzie Sigalos | ) www.cnbc.com time to read: +5 min

Ethereum co-creator Vitalik Buterin on Wednesday cautioned against voting for political candidates based solely on whether they have adopted a "pro-crypto" stance. The best example of this is, predictably, modern Russia," added Buterin, a Russia-born coder who built ethereum in his late teens. Buterin did not single out any names in his post of either political candidates, or of those opting to support them. It comes in stark contrast to the Joe Biden White House, which has been seen as hard on crypto. However, the perception that Biden is anti-crypto and Trump is pro-crypto has some Biden allies concerned enough to take their case directly to senior White House officials.

Persons: Ethereum, Vitalik Buterin, Buterin, Putin, Donald Trump, Marc Andreessen, Ben Horowitz, Andreessen Horowitz, Donald Trump's, Ben, Marc Show, Horowitz, Joe Biden, They've, They're, Andreesen Horowitz, Coinbase, coder, Tesla, Elon Musk, Peter Thiel, Tyler, Cameron Winklevoss, Trump, —, Sen, Elizabeth Warren, bitcoiners, JD Vance, Vance, Biden Organizations: Republican National Convention, U.S . Securities, Exchange Commission, Federal Deposit Insurance Corporation, Trump, Trump —, solana, Internal Revenue Service, Libertarian National Convention, Republican, Joe Biden White, SEC, Biden, White House Locations: Milwaukee, U.S, Russia, San Francisco, Washington, Mar, Nashville , Tennessee

☆ Banks in Synapse mess make progress toward releasing deposits of stranded fintech customers
▼ + stars: | 2024-07-11 | by ( Hugh Son | ) www.cnbc.com time to read: +2 min

There may be relief for the thousands of Americans whose savings have been locked in frozen fintech accounts for the past two months. Banks involved in the mess caused by the collapse of fintech intermediary Synapse have made progress piecing together account information for stranded customers that could result in a release of funds in a matter of weeks, according to a person briefed on the matter. The development comes as regulators, including the Federal Reserve and the Federal Deposit Insurance Corporation, pressure the banks involved to release funds after media and lawmakers have heightened awareness of the debacle. Beginning in May, more than 100,000 customers of fintech apps like Yotta, Juno and Copper have been locked out of their accounts. "We're strongly encouraging Evolve to do whatever it can to help make money available to those depositors," Federal Reserve Chair Jerome Powell told the Senate banking committee Tuesday.

Persons: Banks, We're, Jerome Powell, Scot Lenoir, Jelena McWilliams, Sankaet Pathak Organizations: Staff, Evolve Bank & Trust, Bank, Synapse, Federal Reserve, Federal Deposit Insurance Corporation, Evolve Locations: California

☆ Biden’s Pick to Lead F.D.I.C. Faces Little Resistance in Senate Hearing
▼ + stars: | 2024-07-11 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

With a broad smile and crisply delivered answers, Christy Goldsmith Romero, President Biden’s nominee to take over the Federal Deposit Insurance Corporation, appeared to cruise through her Senate confirmation hearing on Thursday. Ms. Goldsmith Romero’s testimony, before the Senate Banking Committee, is the first step in a process that could put her in charge of the regulator that oversees smaller banks, administers the fund that protects bank depositors’ cash and steps in when a bank fails; it was recently roiled by revelations of widespread sexual harassment and abuse of junior employees by their longtime managers. Over the course of the hearing on Thursday, Ms. Goldsmith Romero’s testimony drew praise not only from Democrats but also from some Republicans, suggesting that she was likely to be confirmed for the position. Ms. Goldsmith Romero is a lawyer who, after the financial crisis, spent more than 12 years in an office created by Congress to investigate fraud and other misconduct by banks that received money from the government’s roughly $450 billion crisis rescue package. Her work exposing fraud often put her at odds with not only bankers but also some government officials who were concerned about the potential damage it would do to overall public opinion of the bailout.

Persons: crisply, Christy Goldsmith Romero, Biden’s, Ms, Goldsmith Romero’s, Goldsmith Romero Organizations: Federal Deposit Insurance Corporation, Banking Committee

☆ Your bank is about to reveal key information about the US economy’s health
▼ + stars: | 2024-07-11 | by ( Krystal Hur | ) edition.cnn.com time to read: +6 min

Dave Sekera, chief US market strategist at Morningstar, says that he’s watching for insights on banks’ delinquency rates. Consumers have increasingly fallen behind on or missed payments in recent months as they get squeezed by high interest rates. But banks could see higher losses compared to 2023 if the economy were to experience a downturn, the Fed warned. Investors are wagering that the central bank will begin easing rates as soon as September, according to the CME FedWatch Tool. “The worst outcome for all of us is what you call stagflation: higher rates and recession,” Dimon said in an interview with CNBC.

Persons: Wells Fargo, Goldman Sachs, Dave Sekera, Stocks, JPMorgan Chase, Jamie Dimon, Dimon, Matt Egan, it’s, ”, Joe Brusuelas, Mark Zandi, ” Zandi, “, Jerome Powell, Erika Tulfo, “ It’s, Neil Saunders, Abrigo, Gen Organizations: CNN Business, Bell, New York CNN, United, United States ’, JPMorgan Chase, Citigroup, Bank of America, Morningstar, Federal Reserve Bank of New, Fed, Federal Deposit Insurance Corporation, JPMorgan, CNBC, Federal, RSM, “, Moody’s, CNN, GlobalData, Apple Locations: New York, United States, Federal Reserve Bank of New York, China

☆ Pain is coming for 2 sectors as high rates cut off the 'lifeblood' of easy leverage, billionaire Oaktree founder Howard Marks says
▼ + stars: | 2024-07-11 | by ( Jennifer Sor | ) www.businessinsider.com time to read: +4 min

Tighter lending could weigh heavily on private equity and real estate, according to Howard Marks. Experts have cautioned on commercial real estate in particular as looming debt maturities pose a risk. That's created "fundamental questions" in specific parts of the real estate market, like office and retail properties, he added. The wider commercial real estate sector has over $1 trillion in debt set to mature in 2024, per Goldman Sachs. Billionaire investor Barry Sternlicht recently said he foresaw weekly bank closures and extreme losses in commercial real estate as high interest rates impact the sector.

Persons: Howard Marks, Marks, —, Banks, That's, Goldman Sachs, Barry Sternlicht Organizations: Service, Oaktree Capital Management, Bloomberg, Federal Reserve, Federal Deposit Insurance Corporation, Billionaire

☆ What Happens When Your Bank Isn’t Really a Bank and Your Money Disappears?
▼ + stars: | 2024-07-09 | by ( Rob Copeland | ) www.nytimes.com time to read: +1 min

For close to a century, putting your savings into a federally insured bank has been a sure thing: If the institution fails, up to $250,000 of your money will be protected. The promise of bank insurance — a tenet of U.S. consumer protection since the Great Depression — is now being tested by a crisis swirling around online-only lenders with hundreds of millions of dollars of deposits between them. Most depositors have little clue where their money has gone, and whether they will get any of it back. It operated banking software for fast-growing online lenders with names like Juno, Yieldstreet and Yotta. Their slick websites advertise insurance from the Federal Deposit Insurance Corporation, the U.S. agency that pledges to pay back lost funds.

Persons: you’ve Organizations: Synapse Technology, Federal Deposit Insurance Corporation, U.S . Locations: U.S

☆ How a criminal record affects your chances of being hired
▼ + stars: | 2024-06-28 | by ( Jeanne Sahadi | ) edition.cnn.com time to read: +7 min

In fact, for many if not most jobs, there are no legal prohibitions on hiring those with criminal records. And when a criminal record of any kind turns up, that can kill a person’s chances, regardless of how well-qualified they may be for a position, either because an employer has a high aversion to risk or a bias against those with a record, Love said. Or the paperwork and time required to get approval for someone with a criminal record may be such that an employer simply decides to look at candidates without a record. “Sometimes people believe they are required to turn my clients down because of a criminal conviction. That law provides for eligible conviction records to be automatically “sealed,” meaning they should no longer show up on employer background checks.

Persons: Donald Trump, Trump, he’d, ”, Margaret Love, aren’t, Love, Beth Avery, Avery, Sabina Crocette, Crocette, ” Crocette, Jason Hoge, Hoge, ‘ I’m, ” Hoge, Wes Moore Organizations: New, New York CNN, Employment Opportunity Commission, of Columbia, National Employment Law, Economic, Federal Deposit Insurance Corporation, Legal, Western, Employers, Whites, New York’s, Criminal, Services, Maryland Gov Locations: New York, United States, NELP, San Francisco, California , New York, Blacks

☆ Regulators hit Citigroup, JPMorgan Chase, Goldman Sachs and Bank of America over living will plans
▼ + stars: | 2024-06-21 | by ( Hugh Son | ) www.cnbc.com time to read: +2 min

Banking regulators on Friday disclosed that they found weaknesses in the resolution plans of four of the eight largest American lenders. The Federal Reserve and the Federal Deposit Insurance Corporation said that the so-called living wills — plans for unwinding huge institutions in the event of distress or failure — of Citigroup , JPMorgan Chase , Goldman Sachs and Bank of America filed in 2023 were inadequate. Regulators found fault with the way each of the banks planned to unwind their massive derivatives portfolios. The living wills are a key regulatory exercise mandated in the aftermath of the 2008 global financial crisis. "We are fully committed to addressing the issues identified by our regulators," New York-based Citigroup said in a statement.

Persons: Jane Fraser, JPMorgan Chase, Goldman Sachs, credibly, we've Organizations: Citigroup, Banking, Housing, Urban Affairs Committee, Nations Largest Banks, Federal Reserve, Federal Deposit Insurance Corporation, JPMorgan, Bank of America, Regulators, Wall, Goldman, Bank of, FDIC, Citi Locations: New York

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