the latest fdic report shows that 6.3% of the population in nevada is unbanked. and as a federal government continues to allocate assistance from the american rescue plan such as the child tax credits, what steps can the federal reserve take to ensure that more individuals have access to bank accounts and financial services in order to receive this assistance? >> so i think that as you noted, the covid has shown some of the specific ways as highlighted some of the specific ways in which the unbanked are disadvantaged. and we do participate in a number of efforts to try to increase the number of citizens with bank accounts. we include that in our cra evaluations of banks as to whether they are -- the efforts they are taking to ensure that all the members of their communities have access to bank accounts at the institutions. and we participate in something called bank on which is a program with the banks to promote access to standardized, very low cost transaction accounts for all americans, particularly those unbanked. >> thank you. in your testimony you call for,

so have conversations begun among the agencies on how the federal reserve, the fdic, and the occ mightalign their regulatory efforts around the cra? >> we have, throughout the cra process, as you know it's been the fed's position and desire that we would end the process with a joint rule making. we've eached shared the comments we have received on our separate processes, the occ's rule, our advanced notice of proposed rule making. we're all aware of the input that has come from that and it remains our objective to see a joint rule. >> i appreciate that is your objective. the question is, since there is a change at the occ, i understand what you did before, the question is are you engaged in now in an effort with the occ to align yourselves? >> we are -- we are certainly talking with them. and obviously the position of the occ has changed. and therefore, our continuing engagement with -- i think is light likely to result in the objective we've always had. but we do continue to talk with them. >> let me reiterate how critical it is for all three banking regulators to get to the same page

so, have conversations begun among the agencies have the federal reserve and fdic and occ might align their regulatory efforts around the cra? >> as you know, it's been the position and desire that we would end the process with a joint rulemaking. we each share to the comments we have received on a separate process and the advanced notice of the rulemaking. we are all aware of the input that has come from that and it remains our objective to see that rule. >> i appreciate your objective. the question is since there is a change at the occ -- i understand what you did before but have you engaged now in the effort to align yourselves? >> we are certainly talking with them and obviously the position of the occ has changed, and therefore the continuing engagement will result in the objectives we both had, but we do continue to talk to them. >> let me reiterate how critical it is to get to the same page when it comes to the cra. it's especially important having seen the disproportionate impact this pandemic has had on the minority owned businesses and communities. i have a sense that some o

they have no fdic protection >> we don't have fdic protection on securities either or bonds or investment, these are not deposits fdic insured, however, i believe these make great investment opportunities to allow people to hold for long periods of time and well educated about the investment risks, and we encourage people to be educated before they make an investment decision. >> you are a great spokesperson for the uggs institution. i want people to understand if they want to be in this maybe a pick and shovel player, coinbase than the actuals that have a lot more risk. i want to thank you so much for coming on. she's the cfo of coinbase. quite exciting. there's always a bull market somewhere and i promise you i will find it here on "mad money." i'm jim cramer. see you tomorrow. the news with shepard smith starts now guidelines tonight the sweeping changes and the exceptions. >> there are people out there who you think can be persuaded. >> free money, free beer, free tuition. the creative incentives to get americans vaccinated will

the fdic confirmed this during public remarks in december 2020. consequently we are left with a scenario where national banks and federal savings associations have a great deal of legal clarity about marketplace lending and state chartered banks do not. why does this matter? mr. president, there are approximately 3,954 state chartered banks in our country as of december. there are approximately 1,062 national banks and federal savings associations that are depository institutions. that means of the approximately 5,000 banks in our dual banking system, about 79% are state banks and 21 banks are national banks. the o.c.c. true lender rule only applies to 21% of the banks in our country. does a rule that only applies to 21% of the banks really promote parity between state and nationally chartered institutions? this chart shows plain as day that it does not. moreover, state chartered banks are the primary banks currently engaged in the kinds of marketplace lending envisioned by the o.c.c. true lender rule. many state banks have innovative and thriving

chime before we launch any product, we review it with our bank partners and it gets reviewed by the fdicsure we're buttoned up on that front before launching new products i wouldn't rule out eventually pursuing a bank charter. but today we're really a payments-driven business model it's not a heavy asset sort of business we earn money when our members are engaged with our product and using it for their everyday purchases an we see a lot of those. >> you started off by saying you're not a bank. the california regulatory group banned you from calling yourself a bank what would you say to a bank ceo that sees you as competition and taking market share and doesn't have to be regulated like a bank to explain why you're not one? >> well, i think probably the biggest difference between a lot of the traditional banks is that the core to our model and the uniqueness of it is that we profit with our members as opposed to from them so we don't rely on fee income we partner with these fdic institutions we have over 12 partners between our checking account products and our savings account products ho

so vice chair, have conversations begun among the agencies on how the federal reserve, the fdic, and the occ might align their regulatory efforts around the cra? >> we have throughout the cra process, as you know, it's been the fed's position and desire that we would end the process with a joint rule making. we've each shared the comments we have received on our separate processes, the occ's rule, our advanced notice of proposed rule making. we're all aware of the input that has come from that, and it remains our objective to see a joint rule. >> i appreciate it as your objective. the question is since there is a change at the occ, i understand what you did before the question. are you engaged now in an effort with the occ to align yourselves? >> well, we are certainly talking with them. and obviously the position of the occ has changed. and, therefore, our continuing engagement will, i think, is likely to result in the objective we've always had, but we do want to talk with them, absolutely. >> let me reiterate how critical it is for all banking regulators to get to the same page wh

taxpayer they are backed up through fdic insurance, they are backed up by too big to fail. and in return for that backing up, a backing up that effectively gives them the opportunity to do banking in the united states and turn a very handsome profit, in return for that, they are supposed to serve the american people. they are supposed to serve families in this country that's what it means to be a bank our responsibility here in washington is to engage in oversight to make sure that they are doing it, that they have following the regulations that keep them from collapsing our system and that they are truly ser serving families are they better off than they were ten years ago well, yeah do you remember what was happening ten years ago? they had crashed the economy why? because they had put their own profits ahead of both safety and ahead of serving the american people dodd frank was passed, regulators came and they made changes. but as we saw with overdrafts, that doesn't mean they're out there there looking for every opportunity to help the american consumer in fact, we just

really help facilitate getting that process accomplished i think a different is that banks really are fdic ensured and the fin teches are not i think at the end of the day it's going to come down that difference right now nobody can see the difference but it's real >> stay right there. we have some breaking news le leslie, what's the latest? >> this was a very fascinating proxy fight. it was seen as a long shot for engine number 1. it appear ts they have elected w of the candidates for that board. both of whom have energy, experience and the petroleum refining and marketing side of things the candidate that's still too close to call, alexander karsner. a very small shareholder which was once the largest company in the world. here you have what many believe a david and goliath situation. an upset for a meeting that began as 10:30 eastern time this morning. it was delay ed delayed it was a long q and a section. >> it's putting a lot of corporate network on notice. you can turn a vote like that. thank you. i want to turn back to you before we go and button up this discussion where do you thin

while this is the lowest percentage rate since the fdic began conducting that survey, back in 2009, the number of unbanked and underbanked families is still disturbing. these statistics point to a staggering number of americans who have limited access to traditional banking services. when i was in community banking before coming to congress, there is nothing more empowering than having connection to and access to that financial system so that you can save for college or buy a home or acquire that first car that you dreamed of, or just conduct your household's financing. so over the years in congress i supported efforts to improve financial literacy, particularly with my friend, dr. foster, and as banker i certainly worked with volunteers helping families understand the financial system and how they could have banking access. so this is a key issue that both the private sector and the public sector works on on a regular basis. mr. scott has suggested that the consumer financial protection bureau office of community affairs continue to engage in these efforts and examine how to improve th

the federal reserve, the fbi c -- fdic, sent out a request to financial institutions that other -- the federal trade commission issued a separate guidance that racial, gender bias, and ai can prompt law enforcement action. are these federal agencies enough to ensure laws to prevent biases and discrimination are providing sufficient accountability for impacts that can result from the use of airy models -- ai models? what should they be doing? >> chairwoman waters, thank you for the question. having alliances, working with all these institutions, federal agencies you just named, on issues of ai fairness, one of the challenges we face is the institutions themselves don't necessarily have significant resources in order to effectively diagnose ai systems, detect discrimination, and generate mechanisms and solutions for overcoming bias. as an example, financial services have been using automated underwriting systems with those pricing systems for decades. we are now finding out in part by using ai tools that these systems have been generating bias for decades. for all of these years the fina

important to remember that banks wouldn't exist without government charters banks wouldn't exist without fdic basic accountability questions. banks meet behind closed doors and i think the public deserves to know what the ceos are going to say in response to congress banks wouldn't exist without the unprecedented level of government support that we offer through the charters, fdic insurance. this isn't just about 2008, this is about all of the regulatory relaxation that happened in the wake of the pandemic congress has good questions about whether or not the relaxation works and i would argue they didn't. >> is there a scenario, alexis, where you would make the case that these banks are monopolies. senator warren, do you think she overstepped there? i don't know how you make that case. >> i used to work on wall street they operated as an oligopoly. citadel tried to become an investment bank in 2008. even as successful as ken griffin is, he couldn't break into the investment banking. they have a lot of concentration of political power and congress is concerned about it for good reason >> antho

and targeted outreach apart from ppp, we're the largest lend tore small business according to the fdich 35 million in small business loan balances we also process more than 73 billion there are in stimulus payments and took additional actions to help overdrawn clients not have offset. one-third of which are in neighborhoods and digital capabilities in 2020 as a complement to our successful safe balance checking account, we launched balance assist, a low-cost digital only payday loan allowing clients to borrow for a 5 flat flow wee expanded many of the benefits including mental health and consultations and no cost coronavirus testing. we offered teammates $100 a day to hire someone to come into their home and take care of their children or their adult dependants we have funded more than 1 million days for our employees we installed more than 44,000 wellness barriers in the branches we provided for special compensation, supplemental pay and transportation and meal subsidies and had no layoffs in 2020 we showed all employees are compensated well last year we increased the minimum hourly w

the new fdic chief information officer recently stated the best way to bank is through technology. i agree with that and believe policymakers should embrace fintech. i'm out of time so i will submit questions for the record. and with that, madam chair, i yield back. >> thank you very much. the gentlewoman from north carolina, ms. adams, is now recognized for five minutes. ms. adams? are you unmuted? ms. adams? i think she's muted. ms. adams, can you hear me? okay. we're going to move on. who is next? we're going to move on. the gentleman from massachusetts, mr. lynch, is now recognized for five minutes. the gentlewoman from pennsylvania, ms. dean, is recognized for five minutes. >> thank you, madam chair. are you able to hear me? >> yes, i can hear you very well. >> thank you very much. i, too, want to say to all of the leaders here today testifying, thank you for your work during this pandemic. and when i say that, i recognize as well your officers, your lenders, your employees who have worked tirelessly in partnership with us and the legislation we passed in the first year in a b

gensler, in september of 2018, the fed, fdic, ncuo, occ, and cfpb issued a statement that clarified the difference betweee supervisory guidance and laws and regulations.fect of most notably, that supervisory guidance does not have the force of law -- force and effect of law -- and that the law and r, g regulationsul does. in january of this year, the prudential regulators issued a t final rule to confirm the regulations and guidance by opet codifying the 2018 statement. while i understand the s.e.c. ee operates differently, it is bete still imperative that the s.e.c. distinguishes between guidance and rule or law. do you agree that distinguishes between guidance and rules is an essential proponent of sound regulation? >> thank you for that question. and i look forward to working with the office of general council to better understand what the bank regulators did in that circumstance. but there is a difference betweeni r roles that have gone governm through noticing combat and staff guidance. and that's something i'm familiar with from my prior sti, service in governance as well. i guess