The Consumer Bankers Association and two other industry groups said "data aggregators and middlemen [are] trying to mislead" the Trump administration into backing a "double standard ... where they may charge fees for service while banks are expected to provide the same service to these private companies for free." CBA said it wants to see a personal data rights rule from the Consumer Financial Protection Bureau "that comports with the statute, protects consumers, and ensures a level playing field to encourage innovation."

A motion filed in court by industry groups is aimed at blocking enforcement of the Biden-era Consumer Financial Protection Bureau's final rule on personal financial data rights. The request comes as the Trump CFPB works to repropose the rule, which would implement Section 1033 of the Dodd-Frank Act. The motion seeks a yearlong pause on the Biden-era rule's compliance deadlines, which are set to begin in mid-2026.

Klarna Group struck a forward-flow agreement to sell up to $26 billion in buy now, pay later loans to student loan servicer Nelnet. The move will allow a US expansion of Klarna's pay-in-4 product, and it is aimed at freeing up capital for the company as it considers again pursuing a New York initial public offering, possibly as soon as next month.

Citigroup is considering developing a suite of stablecoin services, including custody for the digital assets backing products such as exchange-traded funds that track bitcoin's spot price. The bank also is examining whether to enable stablecoin payments and conversion to dollars for instant payments, aiming to streamline transactions that currently take several days.

The return-to-office divide between North American and European banks is widening as US and Canadian institutions implement stricter in-office mandates. While 11 of North America's 15 most valuable banks require at least four days in the office per week, only seven of Europe's top 15 have similar requirements, and no major European bank mandates a full, five-day week for all staff. Major banks in the US and Canada are requiring employees to spend an average of 4.2 days a week in the office, compared with 3.4 days for European banks.

Analysts warn that a booming stablecoin market -- now over $250 billion and dominated by Tether and Circle -- could divert funds from bank deposits into US Treasury bills, potentially shrinking bank lending capacity. Federal Reserve research suggests a $900 billion market could mean a $325 billion drop in bank loans, while Moody's flags risks to money market funds, commercial paper and short-term debt demand. Heavy reliance on Treasuries for reserves might lower sovereign borrowing costs in the near term but would raise concentration risk if no diversification occurs.

President Donald Trump has revoked an executive order issued by former President Joe Biden that aimed to curb consolidation in the banking, agriculture, technology and pharmaceutical sectors. The 2021 order directed more than 12 federal agencies to undertake 72 initiatives to enhance competition, including regulations to protect farmers and consumers.

Cross-border bank credit reached a record $34.7 trillion in the first quarter, driven by a $678 billion surge in lending to nonbank financial institutions, according to the Bank for International Settlements. The majority of the lending went to NBFIs in advanced economies, with the Cayman Islands and Japan seeing the largest increases.

US stocks could decline if the Federal Reserve signals a dovish stance at the Jackson Hole economic symposium after a record rally, Bank of America strategists say. Investors have moved into risky assets, anticipating rate cuts, but a "buy rumor, sell fact" reaction could lead to a market drop, according to the strategists.

Federal Deposit Insurance Corp. supervision of major third-party technology providers is hindered by a lack of clear metrics, the FDIC Office of Inspector General says in an audit report. The agency has updated its provider inventory and examination schedules, but the approach to selecting and evaluating providers remains subjective and insufficiently documented, the report says.