Tag

Deposits are the franchise for most banks and are not a by-product of lending. Core deposits are the cheapest, most stable funding a bank can obtain, and they are the main reason a community bank can compete with larger institutions and nonbank lenders that fund themselves in the wholesale markets. Yet most community banks still…

More than a year ago, the Federal Reserve changed Regulation D, Section 19 to allow an unlimited amount of withdrawals or transfers from a customer’s savings or money market account. Most banks immediately changed their policies to pass on this freedom to their customers. Some banks proactively left the limit in place or modified the…