Yes, it's OK to use cash again
Many people have stopped using cold, hard — and dirty — cash in favor of debit, credit, or contactless forms of payment. Transferred from one person to the next, money is susceptible to picking up a whole host of germs. And naturally, when the coronavirus hit, this left people questioning if cash was safe, while many businesses started encouraging cashless forms of payment.But do we really need to be concerned about getting coronavirus from cash?Probably not.‘THE LIKELIHOOD OF GETTING COVID-19 FROM TOUCHING MONEY IS EXTREMELY LOW.’With months of research behind us, our knowledge of COVID-19 ha...
The Philadelphia Inquirer
After a successful summer, virtual internships are helping companies expand their recruiting reach
The summer of the virtual internship may have been short on baseball outings, picnics and water cooler bonding, but it has landed some real jobs for graduating college seniors.It also has some companies rethinking traditional on-site summer internship programs as a recruiting tool.“This is the most significant thing to happen in talent acquisition in 20 years,” said Greg Watkins, who heads up hiring at M. Holland, a Northbrook, Ill.-based plastics company. “Probably half of our interns going into next year are going to be remote.”When the pandemic hit in March, the corporate world shifted on t...
Marijuana companies seek disaster relief
Derek Wright had hoped his 120-acre marijuana farm in Southern Oregon would yield a $2.8 million crop this year. But he said the South Obenchain fire incinerated everything: his home on the property, the farm manager’s cabin, the processing facility for drying the plants and close to two-thirds of his crop. The plants that survived were too damaged to sell, so Wright and his team composted them.“Now it looks like the desert,” Wright said of the farm.Wright, like most marijuana growers nationwide, doesn’t have crop insurance. Because federal law defines marijuana as an illegal, dangerous drug, ...
U.S. Bancorp profit falls 17% due to low interest rates, slumping economy
U.S. Bancorp’s profit dropped 17% in the third quarter as it set aside another $635 million for possible loan defaults due to economic challenges from the coronavirus pandemic.The provision would also cover expected losses from a credit card portfolio it acquired from State Farm, the company said.But the special charge was smaller than the $1.7 billion it set aside in the previous quarter, a sign that the parent of U.S. Bank sees economic conditions improving.Its net income in the third quarter was $1.58 billion, or 99 cents a share, compared to $1.91 billion in the same quarter a year ago. Th...
Star Tribune (Minneapolis)
Bank of America to offer payday-style loans that cost just $5. Here's how they work.
Bank of America will begin to offer small, short-term loans to cash-strapped customers, the Charlotte-based bank announced Thursday, a move that could upend the market for short-term loans.The loans, called Balance Assist, will have a $500 limit, and will only be available to people who have had a checking account at the bank for at least a year. The roll-out will start in a handful of to-be-announced states by January 2021 before expanding to the rest of the country early next year.The move makes Bank of America — with its tens of millions of customers — one of the biggest financial instituti...
The Charlotte Observer
Wall Street rating agencies still hate Quicken Loans. Here's why.
DETROIT — Quicken Loans is enjoying some of its most profitable months ever amid ultra-low mortgage rates and the fruits of its IPO this summer as part of Dan Gilbert’s Rocket Companies family of financial businesses.Over in Dearborn, Mich., Ford Motor Co. has been burning through billions in cash during the global pandemic and economic slowdown.Aside from its metro Detroit geography, the global automaker and nationwide mortgage lender have little in common. But one other thing they do share is below-investment grade credit ratings from the Wall Street rating agencies, also known as “junk” rat...
Detroit Free Press
Haiti's currency is suddenly strong against the dollar. For many, that's disastrous
A sudden and spectacular appreciation in Haiti’s national currency, the gourde, is creating havoc across the country as economists try to figure out what’s fueling it and skeptical Haitian consumers wonder how long it will last.Over the past four weeks, the gourde has risen in value from 118 gourdes to the U.S. dollar at the end of August to 65 gourdes for every greenback on Wednesday, an appreciation of 81.5 percent.The gourde’s rise is a windfall for importers, big dollar-denominated borrowers and those doing business or getting paid in gourdes, who have seen their earnings plummet due to th...
'We need to do more': Seven high-ranking Black women leave Wells Fargo
At least seven Black female senior executives have left Wells Fargo in the past 12 months, depleting the pipeline of women executives of color to the bank’s most senior positions.Two went to work at Citigroup, which just announced the first female CEO of a major U.S. bank. One went to work at American Express, reporting to one of the most senior Black men in finance. Another left for Equifax. Two people with direct knowledge of the matter say the bank’s culture around race and gender was a factor in why some of the Black women left.Some were brought in to right the ship after the bank’s sales ...
The Charlotte Observer
The Week Ahead: Fiscal stimulus diplomacy
Jerome Powell needs to be an ambassador as much as he is a central banker when he appears on Capitol Hill in the week ahead.He is scheduled to testify before the Select Subcommittee on the Coronavirus Crisis on Wednesday. This will be the first time this group has heard from the Federal Reserve chairman. And his appearance comes a week after the central bank indicated it expects to keep its key interest rate at zero for at least two more years.Powell didn’t come right out and say that, though. Instead, the interest rate-setting committee said it would keep rates where they are until inflation ...
$10 billion in Wells Fargo cost cuts will mostly be layoffs, take several years
Wells Fargo’s plan to cut billions of dollars in expenses will mostly consist of layoffs and potentially take as long as four years, Chief Financial Officer John Shrewsberry said in a Monday presentation to investors.In July, the bank said it intended to cut roughly $10 billion in annual expenses, about a fifth of its yearly $54 billion in spending.The move came after Wells Fargo announced its first quarterly loss in over a decade in July. Those cuts will come from “a little bit of everything,” but “mostly people,” said Shrewsberry, who plans to retire later this year.“$10 billion isn’t a hard...
The Charlotte Observer