December 22, 2020
The Gateway For Payroll Data
US has lost 4,407 bank branches since 2017, study finds

  • More than 4,400 bank branches closed in the U.S. between 2017 and 2020 — a 5.1% drop from 85,993 to 81,586 — according to a report posted Monday by the National Community Reinvestment Coalition (NCRC).
  • The overall pace of branch closures has accelerated since 2008. Previous NCRC research showed 7,779 fewer branches in 2017 than there were in 2008, for an average of 864 branches lost per year. By comparison, the 4,407 branches lost between 2017 and 2020 represents an average decrease per year of 1,469 branches. The NCRC research showed a spike of 1,771 branches lost between 2016 and 2017.
  • Supplemental data from the Federal Deposit Insurance Corp. (FDIC) suggests the coronavirus pandemic slowed — at least for a time — the pace of branch closures. The FDIC indicated 116 branches closed during this year’s third quarter, including 34 branches added in July — a sharp turnaround compared with the 383 lost in the third quarter of 2019. However, the agency also indicated 165 branches closed in October 2020, more than doubling the 76 branches lost in last year’s fourth quarter.

Paving the Payments Future
‘The Best Year Ever’: 2020 Was Surprisingly Good to Small Banks

A large share of government relief for businesses and consumers ended up at community banks, boosting deposits and loans

When coronavirus closed businesses in Baltimore and its suburbs in the spring, Kevin Benson feared the worst for the small lender he runs—widespread defaults, anemic loan growth.

Instead, Rosedale Federal Savings and Loan surpassed $1 billion in assets in May, years ahead of schedule, aided by a government-backed lending boom. The vast majority of its borrowers—consumers and businesses—are in good standing.

“We’re all pretty surprised by the resiliency,” said Mr. Benson, chief executive at Rosedale Federal. “It’s not time for a victory lap yet, but we’re cautiously optimistic.”

Get Ready for Taxes: What’s new and what to consider when filing in 2021

WASHINGTON — The Internal Revenue Service today encouraged taxpayers to take necessary actions in the final weeks of the year to help file federal tax returns timely and accurately in 2021.

This is the third in a series of reminders to help taxpayers get ready for the upcoming tax filing season. A special page, updated and available on, outlines steps taxpayers can take now to make tax filing easier in 2021.

Facing year-end cut off, U.S. banks scramble to extend COVID accounting relief

WASHINGTON (Reuters) - U.S. banks are scrambling to persuade Washington policymakers to extend the Dec. 31 expiry of an accounting waiver that has allowed lenders to give struggling borrowers more leeway on their loans, several bankers and lobbyists said.

If Congress fails to extend the relief as part of a new stimulus package being discussed by lawmakers, many lenders are likely to curtail loan modification programs, they said, making life much tougher for as many as 12 million Americans whose unemployment benefits are due to expire at around the same time.

“This provision has given credit unions and banks some assurance that if they work with borrowers that are having financial difficulty as a result of the pandemic, that they can work with those borrowers and not have supervisory scrutiny,” said Ryan Donovan, Chief Advocacy Officer, Credit Union National Association. “That’s going to go away.”

Yelp deposits $10 million into Black-owned banks to support underserved communities

Yelp announced today that it is depositing $10 million into three Black-owned banks across the country to help further support underserved communities.

Carver Federal Savings Bank, headquartered in New York, and Citizens Savings Bank and Trust Company, headquartered in Tennessee, will each receive $2.5 million from Yelp. Broadway Federal Bank, headquartered in California, will receive $5 million, as it will soon merge with City First Bank in Washington, D.C.

“We know that financial services or access to financial services and access to capital is not equitably distributed in the United States,” David Schwarzbach, chief financial officer at Yelp, tells CNBC Make It. “And at Yelp, our mission is to bring consumers together with great local businesses and to support a vibrant local community.”

Advance America Introduces Online Access Near Dallas

As customers are beginning to discover the convenience and security of managing financial transactions online, Advance America has expanded its online offerings including tools to apply for, manage and repay loans with 24/7 accounts for all borrowers.

Advance America makes it easy to access a variety of personal loans

Advance America promotes loans online and in-store, including installment loans with values up to $2,500 and paycheck advance loans up to $1,800. Borrowers can apply online and receive loans as a direct deposit as soon as same-day if applying before 9:30 am CT. Title loans up to $10,000 are available in-store.

Consumer Financial Protection Bureau Issues Final Rule on Consumer Disclosures Related to Debt Collection

WASHINGTON, D.C. – The Consumer Financial Protection Bureau (Bureau) issued today a final rule to implement Fair Debt Collection Practices Act (FDCPA) requirements regarding certain disclosures for consumers. The rule requires debt collectors to provide, at the outset of collection communications, detailed disclosures about the consumer’s debt and rights in debt collection, along with information to help consumers respond. The rule requires debt collectors to take specific steps to disclose the existence of a debt to consumers, orally, in writing, or electronically, before reporting information about the debt to a consumer reporting agency (CRA). The rule prohibits debt collectors from making threats to sue, or from suing, consumers on time-barred debt.

Before a collector furnishes information about a debt to a consumer reporting agency, the final rule generally requires the collector to take one of several actions to contact the consumer about the debt. 

Most Americans Will Take on Record Credit Card Debt This Holiday Season: Survey

Nearly two-thirds of Americans expect to pile up balances, new research finds.

Since March, millions of Americans have faced a tremendous financial struggle because of the coronavirus pandemic and recession, which have led to mass unemployment.

Nine months later, the difficulties have yet to subside.

Now it’s the holiday season, a time when money is spent and budgets are stretched.

FDIC Approves Rule to Ensure Safety and Soundness of Industrial Banks

WASHINGTON— The Federal Deposit Insurance Corporation (FDIC) approved a final rule that will require certain conditions and commitments for each deposit insurance application approval, non-objection to a change in control notice, and merger application approval that would result in an insured industrial bank or industrial loan company becoming a subsidiary of a company that is not subject to consolidated supervision by the Federal Reserve Board.

The final rule is substantially similar to the proposed rule, and it will require a covered parent company to enter into written agreements with the FDIC and the industrial bank to: address the company’s relationship with the industrial bank; require capital and liquidity support from the parent to the industrial bank; and establish appropriate recordkeeping and reporting requirements. The rule will codify the FDIC’s current supervisory processes and policies with respect to industrial banks and ensure the safe and sound operation of these institutions as well as provide the necessary transparency regarding the FDIC’s supervisory practices.

Credit card debt fell even for consumers who were having financial difficulties before the pandemic

In our first report from the Consumer Financial Protection Bureau’s Making Ends Meet survey, we showed that many consumers were financially vulnerable before the COVID-19 pandemic. In June 2019, 40 percent of consumers had difficulty paying a bill or expense in the previous year. Half could cover their expenses for two months or fewer if they lost their main source of income. Since then, the pandemic has left many consumers unemployed or with new expenses. When consumers have financial difficulty, they often borrow on credit cards to help make ends meet.

A key feature of the Making Ends Meet survey is that the consumers in the survey were drawn from credit bureau data, so that we can observe not only survey responses but also information about credit cards and other accounts. In this blog post, we use this feature of the data to ask whether financially vulnerable consumers have turned to credit card debt during the pandemic.

Can I use my car as collateral for a loan?

If you need a personal loan but are having trouble either finding a low rate or getting qualified, you may need to turn to secured loan options. Secured loans require collateral, or an asset that the lender may repossess should you fail to repay the loan. Some lenders let you use your car as collateral for a loan, but there are a few things to know before going this route.

Can I use my car as collateral for a loan?
In short, it is possible to use your car as collateral for a loan. Doing so may help you qualify for a loan, particularly if you have bad credit. By putting up collateral, you assume more risk for the loan, so lenders may also offer lower rates in exchange.

What Is A Signature Loan?

If you need to borrow money, you might be weighing whether a signature loan is worth it. Signature loans are also known as unsecured personal loans, which means that while you’re not at risk of losing any collateral if you don’t pay (at least not immediately), you also need to qualify based primarily on your credit score and financial profile.

A signature loan might be a good option if your credit is good, you want a quick and easy application process and you don’t want to (or can’t) put up collateral. Here’s what else you should know before you hit the “apply” button on a signature loan.

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