ABA Banking Journal
July 24, 2015

This ABA Banking Journal newsletter is a free, twice-monthly supplement to the ABA Banking Journal magazine intended to help you stay on top of industry and policy news. You can also stay abreast of banking news by visiting aba.com/BankingJournal, home to ABA Daily Newsbytes and other email bulletins.

Industry News
A new survey of 1,500 adults showed that Hispanics appear to be leading the charge toward mobile banking with nearly half of those surveyed using banking apps and bank websites more than a year ago. (Dallas Business Journal)
Many financial services firms are still running mainframe legacy systems that are 30-plus years old—expensive, batch rather than real-time, inflexible and built with an architecture around products while the new mantra in finance is customer centric. (Forbes)
Much has been written about the failure of state and federal prosecutors to pursue criminal cases after the 2008 financial crisis. This is a different story, of a powerful prosecutor relentlessly pursuing a speck of a bank that for 31 years has prudently served an immigrant community in New York City. (New York Times)
ABA Board Member F. Scott Dueser—who is chairman, president and CEO of First Financial Bankshares Inc., Abilene, Texas—told White House Conference on Aging participants how his bank and others can take a proactive stance on preventing fraud and financial exploitation of seniors. (ABA Banking Journal)
PULSE, a Discover company
Crowe Horwath
The number of Americans filing new applications for unemployment benefits fell more than expected last week and confidence among homebuilders held at a more than 9-and-a-half year high in July, indicating underlying momentum in the economy. (Reuters)
U.S. banks are setting aside more money to cover bad loans to energy companies after oil prices plunged over the last year, raising the possibility that deteriorating loans could start to weigh on their earnings, some analysts say. (Reuters)
Policy News
An op-ed by ABA President and CEO Frank Keating in The Hill notes that—in addition to being exempt from taxes—credit unions enjoy a "compliant federal regulator that often acts like a cheerleader for the industry it is supposed to be supervising." (The Hill)
The Fed’s warning, articulated in a pair of rules it finalized Monday, is among the central bank’s starkest postcrisis regulatory moves pressing Wall Street banks to reconsider their size and appetite for risk. (Nasdaq)
The U.S. Federal Reserve has proposed a rule to make changes to its annual exam of the financial health of the banks it oversees, the so-called stress tests. (Reuters)
ABA President and CEO Frank Keating discusses how Dodd-Frank, which turned five on July 21, has impacted banks and how the law should be improved in a "Bloomberg Surveillance" interview. (Bloomberg)
PayNet Incorporated
ABA and several other bank trade groups yesterday wrote to Senate leaders opposing a provision in the Highway Trust Fund reauthorization bill that would reduce the dividends paid on Federal Reserve Bank stock to Fed member banks. (ABA Banking Journal)
The Treasury Department has begun a study of online marketplace lenders, as the federal government looks to determine whether regulations are keeping up with the rapidly growing industry. (New York Times)
Growing regulatory compliance burdens have led nearly half of banks to reduce their offerings of financial products and services, according to ABA’s biannual Survey of Bank Chief Compliance Officers. (ABA Banking Journal)
PULSE, a Discover company
September 27-October 2
Emory Conference Center & Hotel, Atlanta, GA

September 27-October 2
Emory Conference Center & Hotel, Atlanta, GA

October 4-6
Hyatt Regency Denver, Denver, CO
October 12-14
JW Marriott Grande Lakes, Orlando, FL



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