Today, roughly 650 U.S. banks and credit unions (combined) are designated as Minority Depository Institutions (MDIs). Yet, a snapshot of mortgage loan data for 2023 shows there is still a wide gap in approval rates by race/ethnicity. In this week’s…
Commercial Loans (Not) as Bad as They Appear
Despite much negative press to the contrary, most commercial loans are still holding up quite well. The 10 banks with the highest amount outstanding in C&I loans control 45% of the industry’s C&I and are all rated at least 4-Stars…
Credit Unions Expanding into Underserved Areas
A federal credit union may be allowed to expand outside its defined area if the target area is “underserved” by other financial institutions. During 2022 and 2023, 49 credit unions did just that. Some did so more than once. These…
The Housing Situation is “Complicated”
Increasing the Fed Funds Rate 5.25% in a 16-month period was quite a shock to the housing market, especially after being near zero since March 2020. As of this writing, the Fed Funds rate has held steady for 11 solid…
New C.U. Star-Ratings and Data Now Available
Federally-Insured U.S. Credit Unions hold roughly $167 billion dollars in uninsured shares or deposits. About 3/4s of the industry has some amount of uninsured deposits on their books. In addition to looking at key metrics from 1st quarter 2024 credit…
Threading a Narrow Interest Rate Gap
The net interest margin (NIM) at our nation’s community banks dropped 26 basis points during the 12 months ending March 31, 2024 and is now at 3.23%. In this week’s issue of Jumbo Rate News, we list 50 community banks…
All New Bank Star-Ratings this Week
The FDIC likes to put a positive twist on its quarterly data press release, but we know well enough to look beyond. Aside from tightening interest margins and deterioration in credit card and CRE loan quality, the industry has witnessed…
Over 450 Credit Unions Offer Payday Alternative Loans
Payday loans typically come with very high annual percentage rates and are generally due in one lump sum, often on the date of the borrower’s next paycheck. As a rule, the lender does not take into consideration the borrower’s ability…
U.S. Banks Lost Over 45,500 Jobs in 2023
The number of full-time equivalent (FTE) U.S. bank employees dropped 2.2% during calendar 2023 for a loss of over 45,500 jobs. Over 75% of those job losses came from just nine banks with 4-Star Wells Fargo Bank, Sioux Falls, SD…
Cross Border Banking, Double the Fines
The number of U.S. banks under foreign company control is now much less than it was 15 years ago, but the assets at some of those banks, particularly those with Canadian company ownership, have grown tremendously. Canadian firms own currently…