With ongoing changes and innovations in the financial services industry, we strive to stay on the leading edge of news and trends to keep our clients informed on new opportunities and potential threats in their business.
We hope you enjoy September’s edition of Financial Services Industry News to learn about the latest news and developments across the retail banking and financial services industry.
Highlights from this edition include:
- Interest Rate Overnight Averages
- General Industry: U.S. Bank Eyes Online Authentication Services
U.S. Bank is looking at how it might enable its customers to use their online banking credentials to log into government and other websites. The company says it is looking closely at what others are doing, including a service from a company called SecureKey Technologies.
- Technology & Innovation: Visa Creates In-Car Payments Prototype
In a first step of a five-year plan of changing the way motorists pay for gas and other in-transit needs, Visa has created the Visa Connected Car, a prototype of a car designed to initiate payments.
- Cards & Payments: Half of U.S. Consumers Don't Have, and Don't Understand, Chip Cards
More than 50% of U.S. consumers have not received new chip-based credit or debit cards, which are designed to improve the security of in-store purchases, while 56% of consumers do not even know what a chip card is, according to a new Shift Communications survey.
- Consumer Lending: Wells Fargo Mortgage Goal: $125B to Hispanic Buyers
Wells Fargo Home Mortgage recently announced a plan to loan $125 billion to as many as 500,000 Hispanic homebuyers over the next decade, capitalizing on a growing and underserved segment of the U.S. market.
- Wealth Management: The Anxiety of Millennial Affluents
Affluent Millennials — those with a HHI over $180,000 — came of age during the same Great Recession, witnessing friends and family face student debt and a depressed job market.
- Small Business: J.P. Morgan Chase Goes Big on Growing Small Business Customers
Jennifer Piepszak, chief executive of J.P. Morgan Chase's small business banking unit Chase Business Banking, began her tenure earlier this year armed with an internal corporate strategy report outlining the opportunity the company had to better cross-sell small business banking, credit card, and payment processing services that could lead to hundreds of millions of dollars in additional revenues.
- Regulation & Reform: First Anti-Fraud System to Use Existing Credit Card Readers
Integrated circuit cards, mobile wallets, and other solutions to prevent payments fraud typically are too costly and time consuming for retailers to implement because they are incompatible with current systems.
- Economy: Despite Student Loans, Grads Are Buying Houses
Despite carrying large amounts of student loan debt, a new study by the real estate valuation service Zillow finds that college graduates are purchasing homes.