View from CBA February 15, 2013

February 15, 2013

CFPB's Antonakes to Speak at CBA LIVE

Breaking news: Acting Deputy Director Steve Antonakes, who heads up supervision, enforcement and fair lending for the CFPB, will address the general session at CBA LIVE on March 12, 2013 in Phoenix. Hear directly from the CFPB's Sheriff... Register now. 

CBA Testifies in Small Business Hearing

On Wednesday, February 13, 2013, CBA Board member Maria Coyne, KeyBank Executive Vice President, Branch Network, testified on the state of small business lending before the U.S. House Committee on Small Business. Speaking on behalf of CBA and the Financial Services Roundtable, Ms. Coyne stated KeyBank’s commitment to women-owned businesses had totaled $6 billion in lending since 2005. She also reiterated a 2011 commitment made by KeyBank and 12 other banks to increase small business lending by $20 billion over three years. 

Coyne cited widespread industry support for increases in small business lending; calling small businesses the “cornerstone of the American economy and its communities." 

We were pleased to welcome Maria and the KeyBank team to CBA world headquarters before the hearing and we extend our thanks to Maria for her outstanding representation on behalf of CBA's small business lenders.  

Hamilton Financial Index

On Thursday, February 14, 2013, FSR's Tim Pawlenty and I spoke to a dozen reporters about the findings of the new Hamilton Financial Index (HFI), which show the safety and soundness of our banks are at historically high levels. 

In the fourth quarter of 2012:

  • The HFI is 1.28, a record high.
  • U.S. banks’ Tier One Common Capital increased to $1.13 trillion.
  • U.S. banks’ Tier One Common Capital ratio is 12.6 percent, a year-over-year increase of 1.3 percent.
  • The ratio of Risk-Weighted Assets to Total Assets fell 1.3 percent year-over-year.
  • Financial stress declined.

Despite strong headwinds, our banks are healthy. Banks have more, better quality capital and we know this increased capital level is a permanent - not temporary - situation. American consumers can rest assured banks stand ready to meet their financial needs – from buying a car, to financing their education, to owning a home or to starting a small business. The Index is published by the Partnership for a Secure Financial Future, of which CBA is a member. 

“As the CFPB Turns”

The political menu was full of entrees on Thursday, including the Dodd-Frank Act hearing in Senate Banking, which featured among others the testimony of CFPB Dir. Richard Corday. The hearing was followed by the release of a letter bearing the signatures of 53 Senate Democrats and two Independents who support his nomination without changes to the CFPB structure. Meanwhile, just one day earlier the plaintiffs in the State National Bank Case (No. 1:12-cv-01032) filed a second amended complaint in D.C. district court challenging the constitutionality of CFPB Dir. Cordray’s appointment. For more analysis on both developments, please see our Government Relations update below. 

CBA LIVE - Digital Channels Forum is a must-attend

Make sure you send one of your team members to the Digital Channels forum at CBA LIVE. Our newest forum's session lineup is cutting-edge: Original research from Forrester unveiled exclusively for attendees, a deep-dive on the future of the branch with Brett King, representatives from the CFPB and FDIC talking about mobile payments, social media analysis from the top, and game-changers in the mobile wallets space. You know from the headlines, digital is the future. 

Member Visits

On Monday, February 11, 2013, I traveled to Memphis to meet with CBA members First Horizon and Independent Bank. I greatly appreciated this opportunity to catch up with Kevin Trainor and Mark David at Independent Bank as well as the First Horizon team to discuss recent regulatory changes and implications of impending legislation. 

The CBA team was pleased to welcome Shane Clanton, Manolo Sanchez, and Larry Uhlick of BBVA Compass to our Washington, D.C. headquarters on Tuesday. We discussed BBVA’s involvement with CBA, and our legislative and regulatory priorities in 2013. 

Banking on Youth Sponsor - Bank of America

Thanks to Bank of America, latest gold sponsor of our foundation's Banking on Youth competition.