The Bank Slate

INSIGHTS INTO THE BANKING INDUSTRY

CFPB sets expectations for BNPL disclosures and handling disputes

CFPB sets expectations for BNPL disclosures and handling disputes

The Consumer Financial Protection Bureau issued an interpretive rule confirming that Buy Now, Pay Later (BNPL) lenders are credit card providers while setting expectations for disclosures, refunds and handling disputes. The CFPB, which began an inquiry into BNPL practices in 2021, said it continues to field consumer complaints tied to refunds and disputed transactions. “When consumers check out and choose Buy Now, Pay Later, they don’t know if they will get a

May 22, 2024
California’s oldest CDFI finds a buyer

California’s oldest CDFI finds a buyer

CBC Bancorp in Irvine, Calif., has agreed to buy Bay Community Bancorp in Oakland. The $2.4 billion-asset parent of Commercial Bank of California said in a press release that it will pay about $121 million in cash, based on the $975 million-asset Bay Community’s shares outstanding. The deal is expected to close late this year or in early 2025. Bay Community was the first financial institution in California to be

May 21, 2024
West Coast Community to buy 1st Capital in California

West Coast Community to buy 1st Capital in California

West Coast Community Bancorp in Santa Cruz, Calif., has agreed to buy 1st Capital Bancorp in Salinas, Calif. The $1.7 billion-asset West Coast said in a press release that it will pay $63 million in stock for the $1 billion-asset 1st Capital. The deal, which is expected to close in the fourth quarter, priced 1st Capital at 97% of its tangible book value. Krista Snelling will remain West Coast’s president

May 21, 2024
FDIC Chair Gruenberg willing to step down after successor is confirmed

FDIC Chair Gruenberg willing to step down after successor is confirmed

FDIC Chairman Martin Gruenberg said he is willing to step down after a successor is confirmed. Gruenberg had endured intensifying calls for him to step down, including public statements from former FDIC Chair Sheila Bair and Sen. Sherrod Brown, D-Ohio, and chair of the Senate Banking Committee. “It has been my honor to serve at the FDIC as chairman, vice chairman, and director since” August 2005, he wrote in a

May 21, 2024
Key Democrat presses White House to replace FDIC chairman

Key Democrat presses White House to replace FDIC chairman

An influential lawmaker is encouraging the White House to replace Federal Deposit Insurance Corp. Chairman Martin Gruenberg. Sen. Sherrod Brown, D-Ohio, who chairs the Senate Banking Committee, said in a statement that “fundamental changes” are needed at the FDIC. "Those changes begin with new leadership, who must fix the agency's toxic culture and put the women and men who work there — and their mission — first,” Brown added. Brown

May 20, 2024
Quad City Bank in Iowa finalizes CEO succession

Quad City Bank in Iowa finalizes CEO succession

Quad City Bank & Trust in Bettendorf, Iowa, will have a new leader in 2025. The $2.6 billion-asset bank said in a press release that John Anderson plans to retire at the end of this year. Laura Ekizian, the bank’s president, will succeed Anderson on Jan. 3. Quad City is a unit of QCR Holdings in Moline, Ill. "Watching the banking industry transition and change has been amazing, but the

May 20, 2024
Merchants in Ind., Fieldpoint in Conn. raise capital from stock sales

Merchants in Ind., Fieldpoint in Conn. raise capital from stock sales

A pair of banks raised capital from selling common stock. Merchants Bancorp in Carmel, Ind., brought in $103 million from a follow-on offering, according to data compied by Performance Trust Capital Partners. The $17.8 billion-asset company had announced plans to sell 2.4 million shares. Proceed will be used for general corporate purposes, including supporting the bank’s balance sheet growth. Separately, Fieldpoint Private Holdings in Greenwich, Conn., raised $4 million from

May 20, 2024
MountainSeed lines up $2B for more sale-leaseback transactions

MountainSeed lines up $2B for more sale-leaseback transactions

MountainSeed Real Estate in Atlanta has lined up $2 billion in capital commitments to pursue more sale-leaseback transactions with banks. The real estate investor did not disclose the potential investors. "We are excited to embark on this journey with our investors and partners to strengthen our commitment to community banks and credit unions," said Carl Streck, MountainSeed’s CEO, said in a press release. "This partnership signifies our dedication to providing

May 20, 2024