Thread Bank is latest BaaS provider to receive enforcement action
Thread Bank in Rogersville, Tenn., has been dealt an enforcement by the Federal Deposit Insurance Corp. The $723 million-asset bank’s consent order instructs management and the board to address concerns over compliance with the Bank Secrecy Act and anti-money laundering laws, third-party risk management, and liquidity management, among other things. Thread, which is a Banking-as-a-Service […]
First Kentucky Bank president to also serve as CEO
First Kentucky Bank in Mayfield didn’t have to look too far to find its next CEO. The $575 million-asset said in a press release that Will Hayden will take on the new role on July 1. He will remain president, a post he filled last year. ” I look forward to leading a great staff […]
Mutuals Ion Bank in Conn., NVE Bank in N.J. plan to merge
Ion Financial in Naugatuck, Conn., and NVE Bancorp in Englewood, N.J., have agreed to merge. The mutual holding companies said in a press release that Ion, the parent of the $2.1 billion-asset Ion Bank, will absorb the $600 million-asset NVE Bank. The other terms of the deal were not disclosed. NVE Bank will be operated […]
Chime buys employee rewards fintech Salt Labs
Chime in San Francisco has acquired Salt Labs, which provides incentive programs for businesses and employee rewards. The Salt Labs team, led by founder and CEO Jason Lee, and its offerings will become a part of Chime. Chime also said it will gain immediate access to Salt Labs’ enterprise client relationships. Lee will lead a […]
Bank of North Dakota begins search for new CEO
The Bank of North Dakota, the only state-owned bank in the U.S., is looking for a new leader. Todd Steinwand resigned as the bank’s president and CEO, effective July 2. He took over the top post in July 2021. Rob Pfennig, the bank’s chief financial officer, was named interim president and CEO, while a search […]
Hustisford State Bank in Wisconsin names its next CEO
Hustisford State Bank in Wisconsin has a new CEO. The $80 million-asset bank said in a press release that Tanya Ewert will also remain its chief financial officer. Ewert’s “journey from within the ranks to the helm of the organization is a testament to her unwavering passion for our town and its residents,” the bank […]
Merchants National in Ohio selects insider as next president
Merchants National Bank in Hillsboro, Ohio, has a new president. The $1.3 billion-asset bank said in a press release that Denise Fauber had taken on the role. She succeeded Paul Pence, who remains chairman and CEO. Fauber will remain chief operating officer. “Denise’s leadership and guidance to translate strategy into actionable steps for growth are […]
Bank Midwest in Iowa launches digital bank with healthcare focus
Bank Midwest in Spirit Lake, Iowa, has formed a digital bank to focus on the healthcare industry. The $1.3 billion-asset bank debuted OnePlace.bank after working with Finastra on the project. Bank Midwest said the digital bank represents “a natural progression” of its OnePlace Capital business, which serves dental, medical and veterinary practices. The digital bank […]
Evolve Bancorp confirms cyberattack
Evolve Bancorp in West Memphis, Ark., confirmed that it was the victim of a cyberattack. The $1.6 billion-asset company, which was recently hit with an enforcement action from the Federal Reserve, announced on social media that “a known cybercriminal organization” had released “illegally obtained” data. “We take this matter extremely seriously and are working tirelessly […]
United Fidelity in Indiana hit with C&D order from Fed
United Fidelity Bank in Evansville, Ind., and its parent companies are now operating under a cease-and-desist order from the Federal Reserve. The C&D order is tied to the $6.4 billion-asset bank’s capital planning, risk management, contingency funding and oversight by senior executives and directors. United agreed to file a strategic plan for addressing the issues within […]
Funding Circle to sell U.S. business to Ready Capital subsidiary
Funding Circle has agreed to sell its U.S. business to iBusiness Funding, a unit of Ready Capital. The U.K. company said in a press release that it will sell the business for about $41.7 million in cash. The deal includes all loan portfolios; Funding Circle expects to generate a $12.6 million gain from the sale. […]
Heritage Financial in Wash. finalizing CEO succession
Heritage Financial in Olympia, Wash., will soon have a new president. The $7.1 billion-asset company said in a press release that Bryan McDonald will also become CEO of its bank on July 1. He will succeed Jeffrey Deuel, who will remain the company’s CEO until May 2025 when he will take on an advisory role. McDonald has […]
OCC aims to require recovery planning standards from more banks
The Office of the Comptroller of the Currency wants to expand its guidelines for recovery planning standards to more banks. The agency, in a notice of proposed rulemaking, said it wants to expand the application of enforceable guidelines to include banks with at least $100 billion of assets. The current cutoff is $250 billion. Acting […]
PeoplesBancorp, SSB Community in Mass. to merge MHCs
PeoplesBancorp in Holyoke, Mass., and SSB Community Bancorp in Spencer, Mass., have agreed to merge their mutual holding companies. PeoplesBancorp is the MHC for the $4.2 billion-asset PeoplesBank, while SSB Community Bancorp is the parent of the $1.6 billion-asset Cornerstone Bank. The banks expect to operate independently, under separate names and brands “for the foreseeable […]
GM withdraws application to form industrial bank in Utah
General Motors Financial has withdrawn its application to form an industrial bank and receive deposit insurance. The captive finance unit of General Motors submitted its applications to the Federal Deposit Insurance Corp. and the Utah Department of Financial Institutions in late 2020. The state regulator approved GM Financial Bank’s application earlier this month. “GM Financial […]
Greenback Fincorp in Texas raises $2M through private placement
Greenback Fincorp in Austin, Texas, raised $2 million through a private placement. Greenback, the holding company for the $310 million-asset Austin Capital Bank, sold common stock on June 21 as part of the offering, according to data compiled by Performance Trust Capital Partners. Performance Trust did not list the amount of shares sold, pricing, or […]
FDIC approves Thrivent’s plan to form industrial bank and absorb its credit union
The Federal Deposit Insurance Corp. approved a plan by Thrivent Financial for Lutherans to obtain deposit insurance and merge its credit union into a newly created bank. Thrivent had applied for form Thrivent Bank, a proposed industrial bank based in Salt Lake City. Thrivent plans to merge Thrivent Federal Credit Union in Appleton, Wis., into […]
Riverview in Washington hires credit union exec as next CEO
Riverview Bancorp in Vancouver, Wash., will soon have a new CEO. The $1.5 billion-asset company said in a press release that Nicole Sherman will also become president on July 1. She will also join Riverview’s board. Sherman was chief operating officer at Utah First Federal Credit Union. “With over 25 years of proven experience growing […]
Community Partners to merge with Guardian Savings in Illinois
Community Partners Savings Bank in Salem, Ill., has agreed to buy Guardian Savings Bank in Granite City, Ill. The $249 million-asset Community Partners said in a press release that it expects to buy the $32.4 million-asset Guardian this fall. The price wasn’t disclosed. “The best strategy to keep community banks alive and strong in small […]
Atlanta fintech Momnt taps next CEO after raising capital
Momnt, an Atlanta fintech that specializes in real-time lending and payment solutions, has a new CEO. The fintech said in a press release that it had promoted Chris Bracken, previously its chief revenue officer, to the top position. The move follows capital investments from Saluda Grade Ventures, Rockefeller Asset Management and TruStage Ventures. Bracken succeeded […]
FDIC approves proposals for resolution plans, faster merger approvals
The Federal Deposit Insurance Corp. approved a proposal that adjusts how banks submit resolution plans. The FDIC created two tiers based on a bank’s asset size – each tier has its own set of requirements. Banks with more than $100 billion of assets must provide full “living wills” that include comprehensive resolution strategies, valuation analysis, […]
Citi invests in Numerated as part of broader collaboration
Citigroup has invested in commercial lending platform Numerated. Citi will also engage Numerated to provide a financial spreading solution for the bank’s enterprise lending operations. The companies did not disclose the amount of the investment, which was made through Citi’s markets strategic investments unit. The investment “underscores our dedication to driving innovation on a global […]
Apple abandons BNPL product Apple Pay Later
That didn’t last long. Apple announced that it is abandoning Apple Pay Later roughly a year after introducing the program. The company said in a statement that its customers using Apple Pay will be able to apply for installment loans through credit cards, debit cards and lenders later this year. “With the introduction of this […]
Fintech Unit laying off 15% of its staff
Unit is laying off 15% of its staff. Itai Damti, the embedded finance fintech’s co-founder and CEO, announced the cuts in a post. “We believe that our company needs to think in longer time frames,” Damti said. “Banks in the fintech ecosystem have slowed down in the last year due to increased regulatory scrutiny,” he […]
Regulatory delays lead Louisiana banks to call off merger
MC Bancshares in Morgan City, La., and Heritage NOLA Bancorp in Covington, La., have called off their planned merger. The $454 million-asset MC Bancshares agreed in July 2023 to buy the $171 million-asset Heritage NOLA in a roughly $6.5 million deal that was supposed to close by the end of last year. MC Bancshares withdrew […]