Zoe Sagalow

Washington, D.C.

Bank Regulation Reporter at S&P Global Market Intelligence

Bank regulation reporter @SPGMarketIntel | Past @CQnow (insurance policy) @TaxNotes @WBJonline/@DJNF | @MerrillCollege @SmithSchool | https://t.co/rg1CZdvW5m

Articles

Capital One's Discover deal faces opposition from community groups

Jul 22, 2024 | spglobal.com | Zoe Sagalow

Capital One Financial Corp.'s proposed acquisition of Discover Financial Services should be denied following Capital One's history of maltreatment of customers, community groups told regulators.
Public US banks with high CRE concentrations under SEC scrutiny

Jul 11, 2024 | spglobal.com | Zoe Sagalow

Banks must be prepared to provide federal regulators with increased disclosures on their commercial real estate portfolios, including to an unlikely entrant. The US SEC is increasingly probing public US banks with high commercial real estate (CRE) concentrations.
Banks worry Fed's interchange proposal will hinder fraud-prevention investments

May 28, 2024 | spglobal.com | Zoe Sagalow

US banks are concerned about their ability to sufficiently fund debit card fraud prevention if the Federal Reserve's interchange fee rule is finalized. The Fed's proposed rule is set to limit interchange revenue — the fee income banks receive when customers use their debit cards — for institutions with more than $10 billion in assets by more than 30%.
FDIC leadership shake-up unlikely, paving smooth path for regulatory agenda

May 22, 2024 | spglobal.com | Zoe Sagalow

It is unlikely a successor for Federal Deposit Insurance Corp. Chairman Martin Gruenberg will be in place before the November elections, giving way for bank regulators to push through key agenda items ahead of a potential change in administration. Following a report finding workplace misconduct at the FDIC, Gruenberg has faced pressure to resign from his post.
Why New York Community raised capital instead of finding a buyer

Mar 13, 2024 | spglobal.com | Zoe Sagalow

Struggling New York Community Bancorp Inc. found a deal for an equity investment at a time when it was highly unlikely to find a buyer, analysts and advisers said. After facing weeks of turmoil following its 2023 fourth-quarter earnings results, stock price pressure and disclosures about internal control weaknesses, New York Community was forced to explore its strategic options.
New York Community's capital raise buys time for cleanup

Mar 7, 2024 | spglobal.com | Zoe Sagalow

A $1 billion capital infusion and leadership overhaul helped stanch the deteriorating situation at New York Community Bancorp Inc. and now the investment community awaits the company's next move.
Liquidity crunch, New York Community's woes show 'uneven' regulation - PNC CEO

Mar 4, 2024 | spglobal.com | Zoe Sagalow

Silicon Valley Bank and Signature Bank could have avoided their fate had they been under the oversight of the Office of the Comptroller of the Currency, according to the CEO of PNC Financial Services Group Inc. Speaking on a panel discussion on March 5, PNC Chairman and CEO William Demchak said the main lesson he learned from the bank failures in 2023 was "regulation is uneven" between the various federal agencies. Signature's primary regulator was the Federal Deposit Insurance Corp.
Increased M&A, charter switching likely under FDIC corporate governance proposal

Feb 14, 2024 | bakerbotts.com | Zoe Sagalow

Bankers fear the Federal Deposit Insurance Corp.'s recently proposed corporate governance guidelines could lead to a surge in M&A and charter switches. At the heart of the industry's concerns about the proposal, which applies to banks with more than $10 billion in assets, is increased responsibilities for directors such as creating a strategic plan, supervising senior management for operating "in a safe and sound manner" and adopting an ethics code for the board and management.
US bank M&A will face more hurdles under OCC proposal

Feb 6, 2024 | spglobal.com | Zoe Sagalow

Recent efforts from the Office of the Comptroller of the Currency to improve its M&A review process for national banks could discourage dealmaking. The agency, which regulates national banks, took steps last week meant to improve the transparency of its bank merger review process through a notice of proposed rulemaking.
Number of credit unions with adverse CAMELs ratings on the rise

Feb 5, 2024 | spglobal.com | Zoe Sagalow

The number of credit unions with adverse CAMELS ratings is on the rise, leaving the industry's top regulator concerned about the safety and soundness. The total assets of institutions with a CAMELS rating of 3 was $131.7 billion in the third quarter of 2023, a 45% increase sequentially, according to National Credit Union Administration (NCUA) Chairman Todd Harper. Moreover, the number of credit unions with CAMELS ratings of 4 or 5 grew in both the second and third quarters of 2023.