One year after that, 2023 Banking CrisisRegional financial institutions in the United States continue to struggle.
A report by Reuters on Thursday (March 7) examined the hurdles facing these mid-sized companies. BankRising deposit costs and unstable office building loans due to the failure of three banks, etc. silicon valley bank (SVB) and signature bank Following last March first republic 2 months later.
The collapse highlighted how banks are managing liquidity and risk to their assets as the government continues its campaign to raise interest rates. federal reservesays the report.
“The banking industry needs to ensure it has strong access to liquidity and conducts thorough deposit stress testing to ensure it can withstand significant stress.” Ryan Nashbank analyst goldman sachs“This is something that all banks around the world need to plan for in the future,” he told Reuters.
New concerns surrounding another local bank have emerged in recent weeks. new york community bancorp (NYCB) The lender then reported significant losses and warned of weaknesses in its internal controls, the report said.
The report said the announcement came as a surprise as NYCB was seen as one of the “winners” in last year’s crisis after acquiring Signature Bank.
In NYCB credit rating Last month was truncated to junk Moody’s Investor ServiceBloomberg reported that the bank warned that it faces “multidimensional” financial risks and governance challenges.
Late last month, NYCB announced: Resignation CEO’s Thomas Cangemi and said Alessandro (Sandro) DineroThe chairman of the bank’s board of directors will take his place.
Dinero’s tenure was only temporary.the bank received $1 billion stock investment On Wednesday (March 6th), we made some leadership changes.This includes naming Joseph Ottingthe former Comptroller of the Currency is appointed as the new CEO.
There were also reports this week that the Federal Reserve and other U.S. regulators were preparing new policies. banking regulations In response to last year’s crisis, rules focused on liquidity requirements to prevent run-ins were included.
Amid industry turmoil, PYMNTS has been monitoring changes in banking-related behaviors, with consumers increasingly turning to smaller community banks and credit unions. credit card.
According to PYMNTS Intelligence, the percentage of consumers with a community bank or credit union card as their primary card will increase from 8.3% in 2020 to 13% in 2023, and nearly a quarter of consumers will use these cards again next time. They said they were more likely to use a financial institution when they applied for a new card.
