Author: creditcardsconsolidated

Lenders and financial institutions should allow consumers to report nontraditional financial activities in an effort to adopt and validate newer, more inclusive credit scoring models, writes Christian Widhalm.Song_about_summer – stock.adobe. The modern consumer’s financial landscape has become a complex web of traditional bank accounts, credit union memberships, online-only bank accounts, investment accounts, mobile wallets and peer-to-peer payment apps. This financial fragmentation offers flexibility and choice but poses significant challenges for traditional banks striving to maintain customer loyalty and data sovereignty.Consumer-permissioned data, or CPD, offers a promising solution for banks to better serve customers by comprehensively understanding their behavior and financial…

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An error message on a Bloomberg terminal caused by the global IT outage July 19. Bankers from Hong Kong and Dubai to South Africa and London were caught up in a global IT outage, leaving some unable to log on to computer systems and hobbling others from making trades.Some staffers at banks including JPMorgan Chase & Co., Nomura Holdings Inc. and Bank of America Corp. were unable to log on to their firms’ systems Friday, with many met with a blue error screen. At Haitong Securities Co., one of the trading desks was out of action for about three hours.…

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Synovus reported a quarterly loss of $14.7 million, but after stripping out a securities sale and smaller one-time items, it had adjusted net income of $178.7 million. Synovus Financial in Columbus, Georgia, posted a second quarter loss after accounting for a substantial securities sale. But the bank said that its core earnings improved, supported by fee income growth and lower credit costs.The $60 billion-asset bank sold $257 million of bonds at a discount during the quarter, causing the loss but also generating proceeds that Synovus is redeploying into higher-yielding investments and loans.Synovus said that the mix shift has already added…

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Wall Street firms have lately been taking a harder look at the cost and return of generative AI. A new crop of generative artificial intelligence models aim to save buy-side and sell-side analysts time in their research of companies, markets and trends. The technologies from companies like Bloomberg, FactSet and Brightwave can summarize earnings call transcripts and pore through SEC filings to find relevant data.They could potentially save firms, including banks, a lot of time. They are also arriving at a time when many on Wall Street are questioning the expense and value of generative AI and when some question…

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JPMorgan offers its own BNPL service.Chris Ratcliffe/Bloomberg JPMorgan Chase plans to block consumers from using credit cards to pay for buy now/pay later loans from third parties, drawing fresh attention to a group of lenders that has grown rapidly in recent years while attracting regulatory heat and credit risk worries. As of October 10, the bank will no longer allow Chase credit cards to pay for installment loans from non-Chase apps, including firms like Klarna, Affirm, Afterpay and dozens of others. The bank also told its cardholders to update payment methods for any third-party BNPL provider or risk missed payments…

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WASHINGTON — The 2024 election turned on its head this week, as a galvanized former President Donald Trump, bandaged ear from a failed assassination attempt, officially accepted the Republican nomination for the presidency. President Joe Biden, meanwhile, retreated into his Rehoboth beach, Del., home on Thursday, isolating with a recent Covid diagnosis as political pressure mounted for him to step aside amid concerns from his own party about his mental and physical ability to withstand another four years of political service. The dramatic events of the week bolstered the Republican ticket, where Trump is now joined by Sen. JD Vance, R-Ohio, giving…

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Discover Financial Services is doing more cleanup ahead of its pending acquisition by Capital One Financial, inking the sale of its troubled student loan business and setting aside substantial funds to cover looming regulatory penalties.The tie-up with Capital One is not assured, with some community groups set to fight it at a public hearing that regulators have set for Friday.But Discover is ridding itself of past troubles as it prepares to be bought. This week, it followed through on plans to sell its $10 billion private student loan portfolio, which has long been a source of trouble with regulators.And it…

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Representatives of the earned wage access industry say they are gearing up for a legal challenge to an interpretive rule proposed by the Consumer Financial Protection Bureau that would categorize payroll advances as loans subject to Truth in Lending Act requirements. Bloomberg News Paycheck advance providers are gearing up to sue the Consumer Financial Protection Bureau over a proposed interpretive rule issued Thursday requiring the disclosure of costs and fees.The $22 billion-dollar “earned wage access” industry is vigorously defending itself from the CFPB’s proposed federal regulations that would classify paycheck advances as consumer loans subject to the Truth in Lending…

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A group of federal regulators issued a joint guidance on when and how lenders can challenge real estate valuations, a process known as the reconsideration of value, or ROV. The final guidance hews closely to the version first proposed last year.Bloomberg News Federal regulators finalized guidance on Thursday for how banks and other lenders should approach home appraisal do-overs. The guidelines outline a variety of circumstances that might trigger a so-called reconsideration of value, or ROV, process, including discrimination on the grounds of race, color, religion, sex, disability, familial status or national origin. Valuations are a key risk management tool for lenders,…

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Home » Resources » Blog » Know About Your Car Insurance Credit Score – And How It Can Get You Denied The National Association of Insurance Commissioners (NAIC) estimates that 95% of auto insurers conduct credit checks when calculating car insurance premiums. Your credit history is important, as auto insurance companies may legally assess consumer credit information when making decisions such as when determining insurance rates in most states. How Does A Credit Score Affect Car Insurance Rates? Auto insurance companies access credit information from the consumer credit bureaus to guide them when determining auto insurance rates. The following table…

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