Bank of England Warns of Risk From Rise of Non-Bank Players

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(Bloomberg) — The Bank of England highlighted the potential risk of non-bank players in amplifying volatility following an analysis of the ‘dash-for-cash’ in financial markets in March as the Covid-19 crisis swept the globe.

The Financial Stability Report noted the rise of non-banks, including big investors like pension funds, investment funds like real estate investment trusts and money market funds, as holding key roles in financial stability. Had central banks not intervened in March, the outcome could have been much worse, according to the report.

“With money market funds already experiencing outflows, further stress would have also raised the possibility of suspensions, which could have directly impacted the ability of some large companies and other investors to access cash,” the report noted.

For several years, regulators including the BOE have been wary of potential risks building up in the range of sectors all classed as “shadow banking”. The credit market

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8 bank accounts with early direct deposit to get your paycheck sooner

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Personal Finance Insider writes about products, strategies, and tips to help you make smart decisions with your money. We may receive a small commission from our partners, like American Express, but our reporting and recommendations are always independent and objective.

  • Several banks have early direct deposit features, which could get your paycheck into your account up to two days early.
  • All banks are technically able process your paycheck early, but institutions make money by holding onto your paycheck longer to earn interest on the funds.
  • Early direct deposits give you quicker access to your money and may let you start earning interest sooner, depending on the account.
  • There are eight checking accounts with early direct deposit features right now, including accounts from Axos, OneUnited Bank, Wealthfront, and more.
  • See Business Insider’s picks for the best checking accounts »

Direct deposit is the fastest way to get your paycheck into your

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Bank of America accelerates timeline for $20 minimum wage

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Bank of America on Monday pledged to raise its minimum wage to $20 per hour more than a year ahead of schedule.

In a press release, the company said it would move to $20 per hour by the first quarter of 2020. As previously reported by FOX Business, Bank of America had promised to move to a $20 minimum wage by 2021.

“As part of our commitment to being a great place to work, we are saying thank you, and sharing our success with our teammates who serve our clients and communities every day,” Sheri Bronstein, chief human resources officer at Bank of America, said in a statement.

The company’s current minimum rate is $17 per hour.

Since 2010, the bank has raised its minimum wage by more than $8 per hour.


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Buffett’s Berkshire Boosts Its Stake in Bank of America to 11.8% | Investing News

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(Reuters) – Warren Buffett’s Berkshire Hathaway Inc

said on Thursday it has bought another $522 million of stock in Bank of America Corp

, boosting its already large stake in the second-largest U.S. bank by assets.

Berkshire bought about 21.2 million Bank of America shares from July 28 to 30, according to a regulatory filing.

Following those purchases, Berkshire owned a total of 1.02 billion shares in Bank of America which roughly represents an 11.8% stake in the company.

Berkshire has spent more than $1.7 billion on 71.5 million Bank of America shares since July 20, including the latest purchases, according to regulatory filings.

Berkshire began investing in Bank of America in 2011, a time many investors worried about the bank’s capital needs, when it acquired $5 billion of preferred stock plus warrants to buy 700 million common shares.

By the end of March, Bank of America had become Berkshire’s

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It’s official: Varo Money has national bank charter

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The i’s have been dotted and the t’s crossed on a national bank charter for Varo Money.

CEO Colin Walsh and Brian Brooks, the acting comptroller of the currency, will participate in a signing ceremony at Varo’s offices in San Francisco at 10 a.m. Pacific time on Friday, both sides said. Varo is the first fintech provider among several similar applicants to obtain a national bank charter.

Varo Bank N.A. had received conditional approval from the Office of the Comptroller of the Currency in September 2018, provided it met several criteria — including an OK from the Federal Deposit Insurance Corp., which it obtained in February of this year. The company now has official approval in hand from the OCC, FDIC and Federal Reserve Board.

It’s been a three-and-a-half-year journey, and Walsh says the company has filed more than 5,000 pages of paperwork.

“It’s a historic thing,” Walsh said. “We’re

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How Much Money Do Celebrities Like Jerry Seinfeld and Ray Romano Make From Show Royalties?

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Hit series like Seinfeld, Everybody Loves Raymond, and Friends ended years ago but actors and producers continue to still make bank from reruns.

Matthew Broderick, Jerry Seinfeld and Larry David
Matthew Broderick, Jerry Seinfeld and Larry David |Al Pereira/WireImage

While celebrities like Jerry Seinfeld and Ray Romano reportedly draw a serious royalties paycheck from reruns, not every celebrity involved in a hit television series earns a sweet payout. For instance, the cast from the 1960s and 1970s smash-hit The Brady Bunch hasn’t seen much money from the endless reruns, according to GoBankingRates. Actor Eve Plumb, who played Jan Brady told OK Magazine she and other cast members haven’t made any money from the show in years.

Also, actor Richard Karn who played Al Borland on the sitcom Home Improvement said rerun money is nice, but not financially sustainable. “Every time the show gets bought around the world … you get a little percentage of that. …

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British bank NatWest swings to a 2nd-quarter loss of $1.7 billion as income tumbles and impairment charges soar

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Alison Lithgow wearing a suit and tie smiling and looking at the camera: RBS


  • NatWest posted sharply lower profits last quarter as less income and a hefty impairment charge weighed on its business.
  • The British bank’s total income tumbled 34% year-on-year to £2.7 billion ($3.5 billion) and its impairment losses soared to over £2 billion, meaning it swung from a pre-tax profit of £1.7 billion ($2.2 billion) to a £1.3 billion ($1.7 billion) loss.
  • “Our performance in the first half of the year has been significantly impacted by the challenges and uncertainty our economy continues to face as a result of Covid-19,” CEO Alison Rose said in the earnings release.
  • NatWest’s net interest margin fell and its loan impairment rate soared, but it also shored up its finances, increasing both its liquidity coverage ratio and common equity tier one (CET1) ratio.
  • Visit Business Insider’s homepage for more stories.

NatWest suffered a sharp slump in second-quarter profits as pandemic-related lockdowns and travel

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Two Ex-Fed Officials Have a Faster Way to Distribute Money in Recession

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(Bloomberg Markets) — The coronavirus pandemic that shut down economies around the globe showed how crucial—and difficult—it is to get money swiftly to people who need it most in a crisis. Former central bank officials Simon Potter, who led the Federal Reserve Bank of New York’s markets group, and Julia Coronado, who spent eight years as an economist for the Fed’s Board of Governors, are among the innovators brainstorming solutions. They propose creating a monetary tool that they call recession insurance bonds, which draw on some of the advances in digital payments. Coronado, president and founder of MacroPolicy Perspectives LLC, and Potter, nonresident senior fellow at the Peterson Institute for International Economics, spoke with Bloomberg Markets to explain their idea.

BLOOMBERG MARKETS: How would recession insurance bonds work?

JULIA CORONADO: Congress would grant the Federal Reserve an additional tool for providing support—say, a percent of GDP [in a lump sum

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Frozen bank accounts, travel ban: Kuwait pursues 10 influencers for money laundering

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Kuwait’s Attorney General ordered the immediate seizure of all the assets of the 10 social media influencers charged with money laundering and banned them from travel, leading Kuwaiti newspaper, al-Qabas reported on Sunday.

The central bank froze the 10 suspects’ bank accounts and the Ministry of Interior circulated their names to all authorities at land border crossings and airports to ensure they cannot flee, according to al-Qabas.

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The Kuwaiti newspaper released the names of the 10 influencers accused of money laundering, citing an unnamed source, they are: Fouz al-Fahad, Abdulwahab al-Essa, Dana al-Tuwarish, Mishari Buyabis, Halema Bouland, Maryam Reda, Farah Hadi, Jamal al-Najada, Shifa al-Kharaz, and Yaqub Boushehri.

“The awaited decision is to arrest the accused,” al-Qabas cited a source with knowledge of the investigation as saying.

On Monday, the newspaper cited sources close to

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