Key Takeaways Mercantile Bank chose JKHY's core platform and workflow tools to boost efficiency and support expansion.JKHY expands digital payments with Rapid Transfers, powered by Visa and Mastercard certifications.Partnerships with Apple, Visa, and Mastercard help JKHY bring modern payments to community banks.Jack Henry & Associates (JKHY) has signed a new core client, Mercantile Bank, which is the largest community bank in Michigan with $6.2 billion in assets. Mercantile Bank aims to use Jack Henry & Ass ...

Core Insights - Bank of America (BAC) and Truist Financial (TFC) are positioned differently in the current interest rate environment, with BAC leveraging its scale and diversified services while TFC focuses on regional expansion and digital banking [1][2]. Group 1: Bank of America Analysis - BAC is expected to experience a modest decline in net interest income (NII) due to the Federal Reserve's interest rate cuts, but projects NII to rise 6-7% in 2025, reaching $15.5-$15.7 billion in Q4 [3][4][11]. - The bank's expansion strategy and digital services, including Zelle and Erica, are anticipated to enhance customer relationships and drive NII growth over time [5][6]. - Operating expenses are expected to remain elevated due to the expansion plan, with non-interest expenses projected to rise moderately in 2025 [7]. Group 2: Truist Financial Analysis - TFC is less sensitive to interest rate changes and is focusing on strengthening its balance sheet and enhancing non-interest revenue sources following the divestiture of its insurance subsidiary [8][10]. - The company plans to open 100 new branches and renovate over 300 existing locations in high-growth cities over the next five years, while also investing in its business banking ecosystem [9]. - TFC expects nearly 3% NII growth in 2025, driven by loan growth and asset repricing, with management planning to reprice approximately $27 billion of fixed-rate loans and securities [12][13]. Group 3: Comparative Performance and Valuation - In terms of stock performance, TFC shares have risen 5.4% while BAC shares have increased by 17.9% this year, indicating BAC's stronger price performance [14]. - TFC is trading at a forward P/E of 10.76X, while BAC is at 12.6X, suggesting TFC is currently undervalued compared to BAC [15][16]. - BAC has a return on equity (ROE) of 10.25%, significantly higher than TFC's 8.69%, reflecting BAC's efficient use of shareholder funds [20]. Group 4: Earnings Estimates - The Zacks Consensus Estimate for BAC indicates earnings growth of 12.5% in 2025 and 15.9% in 2026, with upward revisions in the past week [22]. - For TFC, the earnings estimates indicate a rise of 4.3% in 2025 and 14.3% in 2026, with no changes in the past week [24]. Group 5: Investment Outlook - Given the Fed's easing cycle, BAC is better positioned to capitalize on lower rates through its scale and diversified income streams, despite potential near-term expense increases [25]. - TFC, while offering a higher dividend yield, faces modest earnings growth and may appeal to value investors due to its discounted valuation [26].

If you travel frequently, the features you get with a standard bank account may not cut it. Limited ATM access, excessive fees, and poor currency exchange rates can quickly eat into your travel budget and make managing your finances away from home a headache. Those who travel often will appreciate a bank account that addresses these concerns. Finding the best fit is even more crucial for international travelers. Best bank account features for frequent and international travelers Looking for a bank acco ...

This story was originally published on Payments Dive. To receive daily news and insights, subscribe to our free daily Payments Dive newsletter. Companies battling payments fraud need better information- and data-sharing, enhanced consumer education and help from telecommunications and social media companies, according to suggestions this month in response to a federal call for ideas to tackle the problem. Those were among the recommendations within dozens of comments filed by payments companies, banks, tra ...

Early Warning Services, the company behind the Zelle payments network, plans to explore issuing its own stablecoin for retail bank customers in the coming weeks, according to people familiar with the matter. Still in its early days, the plan would focus on the infrastructure to create and issue a stablecoin aimed at retail bank customers. A stablecoin is a crypto asset that, unlike bitcoin, isn’t supposed to fluctuate. Instead, it has a price pegged to other assets, most commonly the US dollar. Read more ...

Early Warning Systems, the startup behind the Zelle payments network, plans to explore issuing its own stablecoin for retail bank customers in the coming weeks, according to people familiar with the matter. Still in its early days, the plan would focus on the infrastructure to create and issue a stablecoin aimed at retail bank customers. A stablecoin is a crypto asset that, unlike bitcoin, isn’t supposed to fluctuate. Instead, it has a price pegged to other assets, most commonly the US dollar. Read more: ...

Core Insights - The demand for faster payroll processing is increasing among employees, with 86% expressing a desire for same-day payments, up from 70% in 2022 [3] - Companies like Walmart are responding to this trend by partnering with payment providers to offer early access to paychecks for their employees [2] - The shift towards faster payments is driven by financial stress among workers, with many living paycheck to paycheck and seeking immediate access to their wages [7] Group 1: Employee Preferences and Trends - Employees are increasingly expecting faster payment options, with a significant rise in the desire for same-day pay [3] - The gig economy workers, such as drivers for Uber and Lyft, are particularly vocal about needing accelerated pay to manage financial obligations [5] - A survey indicated that 65% of gig workers have resorted to borrowing money due to delayed payments, highlighting the urgency for faster payroll solutions [4] Group 2: Operational Challenges for Companies - Transitioning to faster payroll systems poses financial challenges for companies, especially those using outdated payment systems [8] - Companies must address cash management and banking relationships to implement faster payment solutions effectively [10] - The operational shift requires careful planning to avoid liquidity issues, as rapid payroll changes can strain cash reserves [13] Group 3: Technological Solutions and Financial Literacy - Digital payment systems are available to facilitate quicker paychecks, with 30% of independent workers seeking more instant payout options [11] - While faster payments are appealing, experts suggest that companies should also focus on financial literacy programs to help employees manage their finances better [12] - Implementing earned wage access programs can be a gradual approach for companies to introduce faster payments while ensuring compliance with wage laws [16] Group 4: Risks of Denying Faster Pay - Refusing employee requests for faster pay can negatively impact morale and retention, especially in a competitive job market [15] - Companies that do not adapt to the demand for quicker payments risk losing talent to competitors who offer more flexible pay options [15] - Implementing faster payment systems should be done carefully to maintain fairness and compliance with labor laws [16]

Core Viewpoint - The New York Attorney General has filed a lawsuit against Zelle, claiming the payment platform allowed over $1 billion in consumer fraud due to inadequate safety measures [1][4]. Group 1: Lawsuit Details - The lawsuit alleges that Zelle's parent companies, including major banks like Bank of America, JPMorgan, and Capital One, were aware of the platform's vulnerabilities since its launch in 2017 but failed to implement necessary safeguards [2][7]. - Common scams reported include unauthorized transfers through hacked accounts, fraudulent sales of non-existent goods or services, and impersonation of banks or government agencies [3][4]. - The lawsuit seeks to compel Zelle to enhance its anti-fraud measures and provide restitution to affected consumers in New York [4]. Group 2: Zelle's Response - Zelle contends that scams are perpetrated by criminals deceiving users, not due to flaws in the platform itself, and warns that holding the platform accountable could lead to increased fees for consumers [5]. - The company claims that over 99.95% of transactions are completed without any reported fraud, asserting this is the highest rate in the industry [5][7]. - Zelle describes the lawsuit as a political maneuver and urges the Attorney General to focus on combating criminal activity rather than pursuing what it considers unfounded claims [5].

New York Sues Zelle—What To Know About Alleged $1 Billion Scams Over The App https://t.co/7HOQbiA8TY https://t.co/7HOQbiA8TY ...

Legal & Regulatory - New York sues Zelle over alleged $1 billion scams [1] Fraud & Security - Alleged $1 billion in scams occurred over the Zelle app [1]