USAA missteps, CFPB uncertainties and more November top news

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In November’s roundup of top banking news, an in-depth analysis of the numerous missteps casting doubt on the reputation of USAA, the Consumer Financial Protection Bureau continues to crack down on banks and other financial institutions in the face of its uncertain future, predictions for President-elect Donald Trump’s impact on the banking industry and more.

Click here to read last month’s roundup of banking news.

‘Fundamental breakdown’: How USAA landed in regulators’ hot seat

Article by Polo Rocha and Sanford Nowlin

This article has been co-published with the San Antonio Current.

Few companies can match USAA’s stellar reputation, gained over a century of offering financial products to military members. But behind the scenes, the San Antonio bank and insurer is navigating a minefield of its own making.

USAA’s banking arm has grown its customer base for years, all while failing to make the investments needed to keep both its regulators and some decades-long customers happy, according to a joint investigation by American Banker and the San Antonio Current.

A series of regulatory penalties hasn’t sparked enough internal change. Neither has the reshuffling of key leaders, the latest move being the upcoming retirement of CEO Wayne Peacock. Another problem: nonexistent profits at USAA’s bank, which has turned to layoffs to cut costs.

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Trump wins presidency, ushering an era of less regulation for banks

Article by Claire Williams

Eva Marie Uzcategui/Bloomberg

Donald Trump was elected the president of the United States. Trump put up a strong showing on Nov. 5, gaining ground in nearly all corners of the country. He claimed Georgia, Pennsylvania and Wisconsin, all swing states he lost in 2020. 

“We overcame obstacles that nobody thought possible,” Trump said in his victory speech in West Palm Beach, Fla. 

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Changes coming to the Fed in a Trump presidency

Article by Kyle Campbell

Donald Trump’s return to power all but guarantees that changes are coming to the Federal Reserve Board of Governors, but the range of potential shake-ups varies widely. 

At a minimum, Trump will have the opportunity to appoint two governors to the board during the coming four years and determine the leadership of the body. He also suggested he would attempt to exert more influence over monetary policy and advisors in his orbit have called for more substantial changes to the central bank.

And, in the waning weeks of the campaign, reports surfaced that Trump could try to demote the Fed board’s top regulatory official, Vice Chair for Supervision Michael Barr. 

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Trump will change the CFPB’s course — but how much is unclear

Article by John Heltman

With President-elect Donald Trump’s victory in the Nov. 5 election, expectations are rising that the next administration will make…