Stop Ignoring Imperfect Credit Customers and Start Competing for Them

Steve Min, Chief Credit Officer at Credit One Bank, has spent his career working in credit risk and portfolio strategy at multiple financial institutions. At Credit One, he oversees lending and product decisions for a customer base that largely falls outside traditional prime segments. His approach centers on expanding access to credit while equipping consumers with the knowledge and tools to improve their financial standing over time.

In a recent Banking Transformed podcast episode, Min argues that serving customers with less-than-perfect credit is both a viable business model and an opportunity that many large banks continue to overlook due to risk aversion and outdated assumptions about profitability.

By combining targeted education, real-time digital tools, and a broader spectrum of rewards and credit products, Credit One demonstrates that institutions can grow portfolios while helping customers build stronger financial momentum.

Read more at The Financial Brand

Car Buyers: Smaller Loans, Longer Terms

The youngest generation of car buyers is more likely to finance less expensive vehicles, more than half of generation Z consumers borrowing less than $25,000.

As consumers battle inflation and high gas prices, auto loan terms are being stretched farther and farther, even those under $25,000, which now make up more than a third of loan originations.

LendingTree analyzed about 154,000 credit reports of its users with active auto loan accounts from Oct. 1 to Dec. 31, 2025, finding that nearly two out of five borrowers entered the new and used markets with modest loan amounts.

Read more at fi-magazine.com

Validate consumer and business bank accounts, confirm ownership, detect fraud, and assess risk 

Bricks Create Clicks: Branches and Digital Should Work Together

The median cost of new freestanding branches in the U.S. now exceeds $3 million. Accordingly, entry into a new market with a multi-branch initiative can require significant capital investments, readily surpassing $10 million in scope for even a three-branch expansion effort.

Those substantial capital requirements prompt questions about less-expensive alternatives. This is often framed along the lines of “Can we use a digital model and avoid those branch costs?”

Sadly, for most financial institutions, the answer to that question is “no.”

That said, a hybrid approach takes advantage of the “digital halo” that branches can bring.

Read more at The Financial Brand

New Poll Finds Voters Across Parties Agree Earned Wage Access Payday Loan Apps Should Play by the Same Rules as Banks and Other Lenders

Voters of both parties and independent voters also agree that payday loan app interest rates should be capped at 36 percent and follow other consumer protections

Washington, D.C. — A new poll commissioned by Americans for Financial Reform and the Center for Responsible Lending found that 86 percent of voters across parties agree that financial technology companies should follow the same rules and regulations as banks and other lenders. Voters also agreed by overwhelming margins that payday loan apps, often called earned wage access loans, should be subject to a 36 percent cap on interest rates and be prohibited from keeping and selling personal financial information. 

The poll was completed by a bipartisan polling team from Lake Research Partners and Chesapeake Beach Consulting. 

Read more at Our Financial Security.org

Have a tax law question?

Our #IRS Interactive Tax Assistant has answers.

Watch this short video to learn more:

https://youtu.be/y6HkaBkdKdU

Jose L. Santiago

Public Affairs Specialist

Tax Outreach, Partnership and Education

Email: jose.l.santiago@irs.gov

How Remittance Apps Turn First-Time Users into Long-Term Customers

Fortune Business Insights forecasts that the global remittance market will grow from $132.18 billion in 2026 at a CAGR of 9.4% to surpass $270 billion by 2034, essentially more than doubling in the next eight years.

This signals a substantial growth that multilateral organizations have linked, in part, to the financial inclusion driven by the proliferation of remittance apps in the early 2010s.

Remittance apps have served as a financial link between U.S. migrant workers and their loved ones in low- and middle-income countries, as well as a gateway to other financial services in underserved communities.

Read more at The Financial Brand

The CFPB is Correcting Flaws to Restore Integrity and Utility to the Consumer Complaint System: CFPB

WASHINGTON, D.C. -- The consumer complaint portal has long been plagued by issues that severely limit its effectiveness in addressing consumers’ complaints and practical utility of its information. Recently, CFPB has taken multiple concrete actions to address these issues and is continuing its work, including with Credit Reporting Agencies, to increase effectiveness of the process, while aligning it with the statutory authorities:

• Revising its Portal Manual to ensure that CRAs follow a standardized process in addressing complaints
• Enhancing identity protections
• Aligning the complaint process to statutory obligations
• Focusing resources on complaints that warrant a substantive response
• Educating consumers about how to address errors on their credit reports
• Increasing the efficiency of the complaint process

Read more at CFPB - Consumer Financial Protection Bureau

Maximize Your Call Center

E-Complish, LLC Launches: IntellAgent™, a 24/7

AI Companion for Customer Account Management &

Payment Processing

If You Think Bitcoin Is Just for Speculation, You’re Already Falling Behind

Talk to community institution executives, and most consider Bitcoin and cryptocurrencies in general to be speculative investments. Setting aside arguments about the future of money, new steps forward for Bitcoin’s utility as a currency suggest that view may need to soften quickly.

Need to Know:

• Bitcoin adoption is expanding beyond trading into real-world payments.
• Stablecoins and blockchain infrastructure are advancing rapidly as regulatory clarity emerges.
• Community institutions risk losing deposits and relevance if they do not engage early.
• Early movers are focusing on education, infrastructure, and maintaining the member relationship.

Read more at The Financial Brand

Educators explore the economics of personal finance

Multiple districts — Along with 401Ks, mortgages and bank accounts, today’s seniors are about to step into the adult world of online betting and financial advice delivered via TikTok.

That’s why teachers from several Michigan districts recently gathered to learn about personal finance resources to use in their classrooms, ensuring students are equipped with ample knowledge and facts when setting up their financial futures.

“There is a lot that is bombarding them now, perhaps more than ever, so I want to give them very factual education and then allow them to make their own choices,” said Northview High School teacher Joan Lamain, who has been teaching a stand-alone personal finance course for one semester.

Read more at SchoolNewsNetwork.org

Our Vision is to become the leading

PAYDAY + ALTERNATIVE LENDER in NORTH AMERICAfb

HUD modifies FHA Mortgage Loan Policies to reduce regulatory burdens and promote affordability By Richard J. Andreano, Jr. & John L. Culhane, Jr.

In a series of five Mortgagee Letters, the U.S. Department of Housing and Urban Development (HUD) recently modified policies for Federal Housing Administration (FHA) insured residential mortgage loans to reduce regulatory burdens and promote affordability. A HUD summary of the modifications indicates that the modifications are in accordance with Executive Order 14393, Promoting Access to Mortgage Credit. (To view the summary, click on “June” under 2026 and scroll to June 23, 2026.) The modifications will be incorporated into HUD Handbook 4000.1

The Mortgagee Letters are:

Mortgagee Letter 2026-06 entitled Increase in the Maximum Number of Draw Requests for Limited 203(k) Rehabilitation Mortgage Insurance Program.

Read more at Ballard Spahr L.L.P.

Why More Fintech Companies Are Building on White-Label Infrastructure in 2026

The economics of building financial technology products from scratch have always been challenging. PCI DSS certification, payment processor integrations, fraud tooling, compliance infrastructure, reporting systems — the list of components required before a product can process a single live transaction is long, and the cost of assembling them internally is substantial.

For much of the industry’s history, that cost was simply the price of entry. Companies that wanted to compete in payments or fintech built their own infrastructure, maintained it, and absorbed the ongoing overhead of keeping it current as standards, regulations, and market requirements evolved.

That calculus is shifting. A growing number of fintech companies, PSPs, and financial institutions are reaching a different conclusion: the infrastructure layer is not where they need to compete. The product experience, the client relationships, the market positioning, the commercial model — that is where differentiation lives. The infrastructure underneath can be someone else’s problem.

Read more at CityBiz.co

Loved by collection agencies, debt buyers, and lenders handling diverse portfolios. cf

ABA-backed SAFE Banking Act re-introduced in Congress

Sen. Jeff Merkley (D-Ore.) and Rep. Dave Joyce (R-Ohio) today re-introduced the SAFE Banking Act, which would help resolve the conflict between federal and state laws on cannabis that hinder financial institutions. Specifically, the SAFE Banking Act would prevent regulators from prohibiting or discouraging financial institutions from serving cannabis businesses in states where it is legal. It would also clarify that proceeds from state-legal marijuana businesses are not considered proceeds from unlawful activity under anti-money laundering laws.

The American Bankers Association has long championed the SAFE Banking Act, which has passed the House on numerous prior occasions. ABA President and CEO Rob Nichols applauded Merkley, Joyce and their bipartisan group of co-sponsors.

Read more at ABA Banking Journal

Major housing legislation includes Small-Dollar Mortgage Loan provisions: By Richard J. Andreano, Jr. & John L. Culhane, Jr.

After much back and forth between the U.S. House of Representatives and Senate over an extended period of time, both chambers have passed major housing legislation entitled “21st Century ROAD to Housing Act.

Although initially a ceremony in which President Trump would sign the Act into law was scheduled for June 24, 2026, the ceremony was canceled with President Trump apparently tying his willingness to sign the legislation to the Senate passing the Save America Act, which includes various provisions regarding federal elections. Although the law in this area has been subject to differing interpretations, it appears that under Clause 2 of Section 7 of Article I of the Constitution, if President Trump does not sign the legislation within 10 days of it being presented to him (excluding Sundays but not federal holidays), and if Congress does not adjourn sine die in the interim, then the bill automatically becomes law. It appears that the 10-day period will end on July 4. Should the President veto the legislation, potentially Congress could override the veto because it passed the House by a vote of 358-32 and the Senate by a vote of 85-5, with both totals exceeding the vote necessary to override a Presidential veto.

Read more at Ballard Spahr L.L.P.

Payliance enables organizations to streamline

payment acceptance, minimize processing costs,

and reduce the risk of fraud.

CFPB Announces Joint Final Rule on Adopting Uniform Standards for Reporting Financial Data: CFPB

Washington, D.C. – Today, the Consumer Financial Protection Bureau (CFPB) finalized rulemaking that establishes technical standards for data submitted to certain financial regulatory agencies. This joint final rule is required under the Financial Data Transparency Act of 2022 to promote interoperability of financial regulatory data across the Securities and Exchange Commission, the Board of Governors of the Federal Reserve System, the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation, the National Credit Union Administration, the Federal Housing Finance Agency, the Commodity Futures Trading Commission, the Department of the Treasury, and the CFPB.

The new standards being adopted establish common identifiers for entities, geographic locations, dates, and certain products and currencies. The standards include a principles-based joint standard with respect to data transmission and schema and taxonomy formats, which would allow financial institutions to submit high-quality, machine-readable data to the agencies.

Read more at CFPB - Consumer Financial Protection Bureau

ABA raises concerns about proposed ACH return timeframe revisions

The American Bankers Association today said it opposes a proposal by Nacha to modify Automated Clearing House return timeframes, pointing to the high costs that would be imposed on financial institutions, particularly smaller banks.

Nacha has proposed to shorten the timeframe for returns that are typically returned without human decisioning or handling by a receiving depositary financial institution. In a letter, ABA said the proposal would involve substantial systems reengineering, enhanced exception processing, vendor coordination and changes to staffing models – all at high cost to financial institutions for relatively little benefit. The proposal would disproportionately affect community and regional banks, which often depend on service providers and have limited control over system changes, ABA said.

Read more at ABA Banking Journal

REGISTER TODAY!

LEND360 is an annual summit for the leaders in online lending that

explores fintech industry trends and new technologies impacting

consumer lenders, small business lenders, service partners, investors,

bank representatives, and more.

63 Million Americans Are Quietly Running Their Family's Financial Lives.

I spent 25 years inside community banks. I have sat across the desk from customers opening their first checking accounts, helped families navigate lending decisions, and have spent years witnessing firsthand how a good banker can become part of someone’s financial life in a way that no app or algorithm can replicate.

There is a role inside millions of American families that does not appear on any org chart, does not come with a title, and does not pay. It is the person tracking accounts across two generations, making decisions for parents who can no longer make them alone, and somehow still running their own household.

The research world calls them the sandwich generation. I call them the “family CFO”. And they are quietly becoming the most important customer in banking.

Read more at The Financial Brand

Exploring Children's Financial Options

“Trump Accounts” are set to roll out, with contributions beginning around July 4, 2026. Children under age 18 will be eligible to open an account, with total contributions capped at $5,000 per year from any source. In addition, children born between January 1, 2025 and December 31, 2028 may qualify for a one-time $1,000 contribution from the Treasury Department, provided the appropriate election is filed. These accounts are designed to support long-term, tax-advantaged savings for families.

Whether the specifics evolve or not, they highlight something more important than any one product—how we prepare the next generation for both wealth and responsibility.

For many DELCO families, the bigger opportunity comes not just from investing but from coordinating the investment accounts while thinking about risk, taxes and estate planning.

Read more at City Lifestyle 

Your Next Capital Raise Starts Here

What to know to help aging parents with financial management

Aging can already be a touchy subject, and when it intersects with something as personal and private as finances, having a conversation about it can feel daunting. Parents may be hesitant, or even embarrassed, to ask for help in managing their financial situation as they get older. Meanwhile, their adult children may feel unsure about how to — or even whether to — insert themselves.

The reality is, putting off having these discussions does not do anyone any favors. Here are some tips for how to approach the topic.

Start the conversation sooner rather than later

"Even if your parents aren't yet ready to cede control of their finances, the key is to start talking now," said TIAA. Otherwise, you run the risk of waiting too long and ending up in a position with no system in place should an issue or emergency arise.

Read more at The Week US

Open banking regulation in 2026: federal regulation resurfaces as states bring data sharing into focus: By Adam Maarec, Joseph J. Schuster & John L. Culhane, Jr.

The federal regulation of open banking in the United States has been in an extraordinary state of limbo. The Consumer Financial Protection Bureau’s final rules implementing Section 1033 of the Dodd-Frank Act, the product of a long rulemaking journey that began in 2016, remain codified in the Code of Federal Regulations but are effectively unenforceable. A federal court in Kentucky enjoined the CFPB from enforcing the rules, finding that they likely exceeded the Bureau’s statutory authority and were arbitrary and capricious. That decision has been appealed to the Sixth Circuit but the case has been stayed while the CFPB is undertaking an effort to revise the existing rules.

Rumors are circulating in Washington, DC that the CFPB’s Acting Director is eager to make progress on revisions to its Section 1033 open banking rules before his term ends and that revised rules could be published in early July, but the agency’s ability to write rules that will satisfy the varied constituencies and end protracted litigation is uncertain. Against this backdrop of federal regulatory limbo, states are beginning to consider whether they should step in to fill the void.

Read more at Ballard Spahr L.L.P.

Digital Bank Employees Used to be the Stuff of Science Fiction. Not Anymore

If you ask most bankers how they’re using AI today, the answers are starting to sound consistent: Professionals are using it to write emails faster, summarize meetings, clean up reports, and brainstorm ideas.

But on the horizon is another AI revolution: AI agents acting as digital employees. The foundation to transform the industry is accelerating even faster than what we’ve seen in recent years and we can look at the hype of OpenClaw and its influence on coworking developments to gain important insights.

The industry is building a responsible foundation centered on “copilot” models, tools like Microsoft Copilot, ChatGPT, and Google Gemini, or AI features embedded into existing vendor software. 

Read more at The Financial Brand

Illinois bans junk fees, cracks down on ticket resellers in new consumer protection laws

CHICAGO, Ill (WTVO) — Governor JB Pritzker signed several bills today that are aimed at protecting Illinois consumers from hidden junk fees, ticket resellers, and ‘Buy-Now-Pay-Later’ lenders.

Officials said the legislation aims to increase transparency in pricing, curb deceptive resale practices, and provide oversight of short-term lenders.

“Illinois is saying goodbye to junk fees once and for all, addressing abuses in the ticketing marketplace, and fighting for greater oversight and consumer protections,” said Governor JB Pritzker. “I’m proud to sign a slate of bills that cuts costs for working families while advancing transparency, fairness, and accountability on behalf of Illinoisans.”

Read more at My State Line

Our Vision is to become the leading

PAYDAY + ALTERNATIVE LENDER in NORTH AMERICA

2025 Financial Literacy Annual Report: CFPB

The 2025 Financial Literacy Annual Report summarizes the CFPB’s financial education priorities including:

• Empowering military consumers, veterans, and their families to make better-informed decisions about consumer financial products and services
• Disseminating tools and resources targeted to older adults about current and future financial choices
• Providing high-quality financial education resources for kids and young people
• Equipping consumers with tools and resources to identify and avoid fraud and scams

Read more at CFPB - Consumer Financial Protection Bureau

Americans and AI 2026: Chatbots, Smart Devices and Views on Impact

More Americans are using chatbots, and some are adopting AI summaries and smart speakers. But views about AI and how fast it’s advancing tilt negative – even for younger adults

Artificial intelligence (AI) is no longer a futuristic concept – it’s transforming everything from medicine to work to entertainment.

At the same time, Americans are using chatbots more than ever before and some are bringing smart devices into their households, according to a new Pew Research Center survey of U.S. adults.

The key takeaways:

About half of U.S. adults now report using AI chatbots, up substantially from the summer of 2024.1 This includes roughly one-in-four who use these tools on daily basis.

Read more at PEW RESEARCH

Your Next Capital Raise Starts Here

Mortgage rates tick up: ABA Banking Journal

• The rate for a 30-year fixed-rate mortgage was 6.49% this week, up from 6.47% last week, according to Freddie Mac. A year ago, the rate was 6.77%. The rate for a 15-year fixed-rate mortgage was 5.84%, up from 5.81% last week. A year ago, the rate was 5.89%.

Read more at ABA Banking Journal

Lawmakers seek study of bank-fintech partnerships

Lawmakers in the House and Senate have introduced legislation to require banking agencies to study partnerships between financial technology companies and small- to medium-sized banks and credit unions to see how such arrangements could improve communities.

The Bank-Fintech Partnership Enhancement Act would require banking agencies to assess the extent to which bank-fintech partnerships support community bank health, as well as their effects on the banking sector, competition, innovation, consumer protection and the availability of financial products and services, according to the sponsors.

The bill was introduced in the House by Reps. Andy Barr (R-Ky.) and Josh Gottheimer (D-N.J.) and cleared the House Financial Services Committee by unanimous vote. It was introduced in the Senate by Sens. Pete Ricketts (R-Neb.) and Catherine Cortez Masto (D-N.V.).

Read more at ABA Banking Journal