Deposits rise at biggest banks
Many of the community bankers I interviewed last year said flight-to-safety inflows and new business from customers moving out of big banks were causing deposits to swell. Looks like they weren’t alone. This Bloomberg/Business Week analysis of Q4 earnings indicates that the top-10 banks expanded their deposit bases for the first time in four years.
“JPMorgan Chase & Co. posted an 8.1 percent rise to $938 billion, the biggest gain, led by increases in deposits from corporate clients…U.S. Bancorp said deposits rose 7.9 percent after the Minneapolis-based lender acquired $15 billion in deposits from FBOP Corp., which failed in October.”
The 40-biggest U.S. banks reported an average 8-percent rise in deposits.
Speaking of the former FBOP Corp., check out the Feb. 15 edition of NorthWestern Financial Review for firsthand testimony on that company’s complicated demise.
