Chronicles

Congressional denial of CFPB’s restriction on arbitration agreements

A Congressional denial of the CFPB’s restriction on arbitration agreements took another step forward late Tuesday night thanks to Vice President Mike Pence casting a tiebreaking vote in the Senate. With Republican Senators Lindsey Graham (S.C.) and John Kennedy (La.) voting with the Democrats, the Senate split 50-50, leaving it to Pence to break the tie on a resolution voiding the CFPB’s rule. [Continue]

SoFi application for deposit insurance draws scrutiny

Rep. Maxine Waters, ranking minority member of the House Financial Services Committee, has written FDIC Chairman Martin Gruenberg, requesting his agency conduct a public hearing to consider SoFi’s application for deposit insurance on the industrial bank it is chartering in Utah.

SoFi is Social Finance, the six-year-old company that has made a name for itself in the online lending space focusing on student debt. More recently it has begun offering mortgages and personal loans. In June, SoFi submitted the application with the FDIC; Rep. Waters, a Democrat from California, sent her letter to Gruenberg on Aug. 25. [Continue]

New KleinBank product offers convenience, security

KleinBank of Chaska, Minn., is one of the first community banks in Minnesota to offer a new mobile service to debit card users that helps defend against fraud and better manage spending. KleinBank’s new CardControl mobile app enables customers to turn their debit cards on or off, set spending limits, approve where and how the card can be used, and receive real time notifications. [Continue]

South Dakota bank expands in Minnesota

First Bank & Trust, Brookings, S.D., is buying two Minnesota banks operating under one holding company: Peoples Bank of Commerce, and State Bank of New Prague, both owned by the Duke Financial Group, Minneapolis. The $296 million Peoples Bank of Commerce is based in Cambridge and has branches in Princeton, East Bethel, Edina and Roseville. State Bank of New Prague has one location and assets of $112 million. The name of both banks will change to First Bank & Trust. [Continue]

Bankers form core processor co-op

Waldorf Computer Systems of West Des Moines, Iowa, has entered into an agreement to transition ownership of its core banking software product to the Community Bankers Cooperative, a not-for-profit, member-owned-and-controlled cooperative that is being formed by banks that use the company’s software, BANCADO. [Continue]