What a Harris presidency might mean for banking
What a whirlwind few weeks of political events we’ve had: Assassination attempts, VP picks and the first presidential incumbent to not seek re-election since Lyndon Johnson. [Continue]
Captive insurance as a tool for political and regulatory resilience
The financial sector is currently navigating an intricate web of regulatory and political challenges. With the rise of new technologies and recent high-profile bank failures, regulatory bodies have increased their oversight, demanding more stringent compliance measures. [Continue]
Takeaways from Supreme Court’s recent CFPB funding decision
A recently-issued decision by the Supreme Court may be the final nail in the coffin for community banks seeking to halt the CFPB by challenging the bureau’s constitutionality. [Continue]
Bankers may find project to identify racist deeds intriguing
U.S. Sen. Tina Smith (D-Minn.) is seeking support for a bill she wrote which would provide grant money to organizations that help identify property deeds containing racist covenants. Some deeds written in the early 20th century contained provisions prohibiting the sale of land to Black people and other minorities. More research needs to be done to determine the impact of decades-old racist covenants on today’s patterns of homeownership. Perhaps Sen. Smith’s legislation could result in additional understanding. [Continue]
Democratic control brings new financial leadership
With democrats now in control of Congress and the White House, the transition in political power means shake-ups in top federal economic positions, too. Democratic regulators are more likely to push for tighter banking regulations as well as prioritize increased federal relief as the economy falters due to the COVID-19 pandemic. [Continue]
Consensus around PPP’s success
Democrats and Republicans unsurprisingly have different takes on the success of the Paycheck Protection Program. Opposing political parties routinely take shots at one another; weeks before a presidential election, the partisanship is especially acute. With respect to PPP, however, small business advocates should agree that the program provided crucial support very quickly, with safeguards against fraud that made PPP as effective as any massive government grant program can realistically be. [Continue]
Bridging wage and wealth gaps isn’t the right Fed mandate
The Federal Reserve, with its enormous capacity for research, tells us the coronavirus recession has hit women and minority populations hard due to disruptions in the retail and service sectors. Federal Reserve Chair Jerome Powell said in June that the persons least able to weather an economic downturn are now carrying the greatest burden. [Continue]
Public banks offer little more than false hope to Californians
California Gov. Gavin Newsom and the state’s legislature are offering their citizens nothing more than false hope by passing a law allowing for the creation of public banks. [Continue]
Political parties diverge on key banking issues
With the midterms already top of mind for many, we review banking policy as added to the platforms of the two major political parties. [Continue]