Week the New York Times emily flutter reports on the barriers that people of color face when interacting with the u. S. Financial Services Industry in her book the white wall, she is interviewed by Brookings Institution senior fellow andre perry. Watch afterwards every friday at 8 pm eastern, on cspan. Ceos from americas biggest bags testify before the House Financial Services committee on a regulatory and oversight matters in the banking industry. They also touch on Customer Data protection, and working with underserved, underbanks communities. The committee will come to order, without objection the chair is authorized to declare recess of the canadian anytime. This hearing is entitled holding mega banks accountable, oversight of americas Largest Consumer facing banks. I now recognize myself for four minutes to give an opening statement. Testifying before us today we have the ceos of the seven largest u. S. Commercial banks that each serve millions of consumers, as chairman of this committee i have prioritized conducting rigorous oversight over our nations largest banks, and their activities. Last year, four of mega banks testify before us, since then our nation continues to battle an ongoing epidemic, inflation that is affecting every household budget. Russias invasion of ukraine, Rising Interest Rates and other crises that have battered our economy. In this environment, the role that banks play to protect consumers and provide access. Its absolutely critical. Over the past several years we have seen the system of banking in this country take a dramatic shift. Our nations largest banks have gotten even bigger during the pandemic. In part through mergers, regulators have rubber stamped these merger applications for far too long. It is past time we get to the bottom of who these mergers are actually benefiting. For starters, i remain concerned that Branch Closures across the country, which are often consequence of mergers are expanding banking deserts and harming communities that rely on branches for basic Banking Services. The committee will also examine banks commitments to underserved communities as our nations racial wealth gap widens, and black applicants and others continue to be discriminated against. I am eager to hear about their efforts to ensure communities of color finally get their opportunities to build generational wealth. The ceos will be asked for an update on the diversity and conclusion commitments they made following the murder of george floyd, and details on additional mergers they will take. In addition, following news and equifax sent inaccurate Credit Scores to lenders, who intern use them to charge consumers higher Interest Rates, or, even deny them credit. I would like to hear what these banks are doing to ensure their harm customers are identified and properly made whole. As competition for the ceos goes up dramatically, when compared to other customer facing him plays, many of the banks they represent have signed simultaneously earned the title repeat offenders for their continued validation of law. The committee has received a long list of unlawful actions resulting in fines. These fines pale in comparison to the billions in profits these banks make, and amount to nothing more than another cost of doing business. So, i would like to hear those compliance practices and commit to following the law. There are many other issues the committee will explore today, including the rise of emerging technologies. Many consumers have reported being scammed through a Money Transfer app and all of the banks before us shrug their shoulders. We also want to know what these banks are doing to protect their employees following the supreme courts shameful decision to abolish roe v. Wade, along with efforts to combat gun violence and much more. So, i look forward to hearing testimony from our witness today, and, i yield back. I now recognize the Ranking Member for five minutes. Thank you, madam chair. And frankly, i disagree with the premise of this hearing. It is not because i disagree with holding folks accountable, actually, rather that is the opposite. In fact, i think this committee has done woefully little over the last two years to hold agencies and the industries we oversee accountable. I disagree with this hearing because it is theater, not oversight. The majority has had to use to do its job of oversight and they have failed miserably, now that we are just over a month away from the midterms they are posturing. Democrats first held this hearing back in 2019 in search of a headline. And, when they failed to garner the positive press they were seeking the democrats fault bolden by the biden ministration on the one party rule of washington to drag this back in 2022, demanding they pair the progressive agenda. Now, one year later we expect more of the same. This time at the expense of focusing on the real issues the American People are facing. And, when it comes to the Financial System list of issues is long. Issues is long. Make decisions based off work politics rather than worthiness. We will talk about social issues rather than economic issues, although we are an economic committee. That is not. All the elected bureaucrats, Congressional Democrats and the biden ministration have conspired to create uncertainty and stifle innovation in our Financial System. This will create long term problems. They are targeting essential in popular products and services used by millions of consumers, such as draft protection, peer to peer payments, and buy now pay later. These policies light options for consumers at the time when they can least afford it, it make it more challenging for Financial Institutions to innovate and compete. Coupled with reckless spending, democrats bad policymaking is devastating americans budgets. The price of gas is still higher today than it was a year ago. That threatens the spike again this winter. Groceries are more expensive, up more than 14 from this time last year. Bidens administration continues to clobber american families, and last weeks cbsn embers show the prices continue to rise at 8. 3 over the prior year, and up over the one before. Everything costs more now, and low income americans are hurt the most. Add to all of this the looming housing crisis. And inflationary rising Interest Rate environment, consumers are already having a harder time accessing formal credit. Families are being priced out of the housing market, because the fed has been forced to keep raising Interest Rates as democrats continue to dump jet fuel on their economic dumpster fire. It is offensive to all the senses. And if none of that bothers you, how about this . The Biden Administration is treating u. S. Treasury like its own mega bank. Doubling out half a trillion in taxpayer dollars to replace student loans. That economic concept is that the same folks are paying for someone elses American Dream can no longer afford their own. You are taking from some aides demanding the populace, some who could not afford to go to college. Demanding that they pay for those that have debt they shouldnt have taken. So we should focus on those issues. We should focus on the substance of how the American People live and seek to work. That should be the discussion today. We have an economy that is an inflection point. We should focus on that. We should talk about the regulatory challenges of giving consumers what they want and demand. That should be the focus of this hearing if we are going to have a hearing like this. Then we should talk about the substance of making peoples lives better, that reducing regulatory resume products more expensive and make life harder for average americans. Colleges have instead called on large banks ceos to publicly pressure them to promote divisive partisan priorities. In fact, she might hear from both sides. By the way. Where we are the months before the election. Instead of focusing on what your institutions do, best providing capital and serving customers, you are here. Its a shame, its theater. And offer zero solutions to the millions of americans preparing financial and the democrats for issue safety. I send it back. Thank you very much Ranking Member mchenry. And now recognizing the gentleman from colorado, mr. Perlmutter, who is also the chair of the subcommittee on the Financial Institutions. Thank, you madam chair. Good morning. Welcome to our committee. If theres anything that is built on trust it is banking. The Banking Sector lost a lot of trust in 2008, but with the passage of disappointed putin operations, our banks are now well capitalize. Banks have been a source of strength during the pandemic, and in many cases have made progress in restoring Consumer Trust over the last decade. But it is not all sunshine and roses. This committee has heard reports of modern day redlining, high and misleading fees, and unfair uses of Credit Scores. According to the authorities you households have not used banks because they dont trust them. Other consumers are turning to risky cryptocurrencies to avoid the system altogether. I hope that todays hearing can be a productive dialogue on how to continue to instill trust in our Banking System, and ensure it works for everyone. With, that i yield back. Thank you very much mister i want to welcome todays distinguished witnesses to the committee. First, we have andy cissie airy who is a chairman president and ceo of u. S. Bank or. Andy cecere. Next we have william demchak, who is the ceo of the p and c Financial Services group. Next we have jamie dimon who is the ceo of Jpmorgan Chase and company. Next we have jane fraser, who is the ceo of city corps. Next we have brian moynihan, who is the chair and ceo of bank of america. Next we have William Rogers jr. , chairman and ceo of Truist Financial corporation. And finally, we have charles scharf, who is the president and ceo of wells fargo and company. With that objection, your written statement will be made part of the record. Each of you will have five minutes to summarize your testimony. We should be able to see a timer on your screen, which will indicate how much time they have left, and a time will go off at the end of your period, i would ask you to be mindful of your timer and quickly wrap up your testimony if you hear the chime. Before we begin with your oral testimonies, i would like to swear in the witnesses. Well all of you please raise your right hands . Do you solemnly swear or affirm that the testimony will give before the committee, in the matter is now under consideration, will be the truth, the whole truth, nothing but the truth so help you god . Let the record show that all the witnesses answered in the affirmative. You maybe, of course, you already seated. And we will now begin with your oral testimonies. Mr. Andy cecere, you are now recognized for five minutes to present your oral testimony. Good morning and. Thank you chairwoman waters, henry, and distinguished and will you speak directly into the microphone and with a voice that everyone can hear you . Certain. Good morning, chairman waters Ranking Member mchenry and distinguished members of the committee. Thank you for letting me speak with you today. Is in minneapolis minnesota and hold one of the longest banking traders in the United States. We spent nearly 160 years serving individuals, the family, businesses and communities and ive always strive to be irresponsible and innovative leader in the financial Services Industry. At u. S. Bank we operate a simple straightforward company with four core principles. Opening commercial, Banking Payment Services and Wealth Management and investment services. We have earned a reputation for being well managed, financially sound, and responsible in our approaches to underwriting and risk. Because of this we have one of the highest ratings and have been recognized for eight consecutive years as one of the worlds most ethical companies. These achievements are possible only because of our Exceptional Team members. We work hard to take care of their needs and invest in Career Growth and development. This commitment has been for the reflected in our newly expanded benefits, and recently announced increases and entry level pay. Thanks to our incredible team, we provide exceptional Banking Experience to our customers. Retail Banking Services are accessible when where and how our customers prefer. Whether virtually or in person, one of a retail branches which we operate in 26 states. There are few areas of a Retail Banking businesses want to highlight today. First i want the digital investments. In addition to our awardwinning mobile app, credit to about banking coal brands with our customers on. Video dissolution helps customers feel heard and understood when they need help making important financial transactions. Second, we have made it easier for individuals customers and Small Businesses to access credit. I know policymakers on this committee have been seeking a short term lowcost small people have emergency cash needs. Four years ago we provided a solution for our customers. Our simpler product allows customers to receive a loan of up to 1,000 in a matter of minutes in our mobile app. We streamline our services for Small Businesses. We now can process and fund a Small Business lending less than 15 minutes. I think storing vessel into new point of sale technologies, Small Business customers can more easily manage their money and serve their customers. , there are working to make homeownership a reality for more care americans across both Rural Communities and in our country cities. Once this initiative weve launched his access home. A Program Designed to increase black ownership homeownership by engaging with the community. We continue to buy provide Market Services to local housing authorities, as weve done through the pandemic, and we are at leading fha lender. Our commitment to serving the financial needs of americans truly includes all americans. We recognize that being a good Corporate Citizen goes beyond providing worldclass Financial Services. In 2020, when we developed our access commitment, in multi dimensional initiative that works to close the racial wealth gap across communities. Fulfilling these commitments is important, and weve made substantial progress. Last year provided nearly 200 million in capital to blackowned or lead businesses and organizations. We made a 305 million donation to see emphasize, and weve made supplier diversity a priority in our spending nearly on these efforts annually. Still, weve pledged to do more. In addition to our commitment to closing the racial wealth gap, in addition to promoting diversity, the committees just with me. We have seen firsthand the benefits appointing diversity and u. S. Bank diversity strengthens our business, attacks and allows us to better serve our interests. Universally ink names u. S. For the top never seen the first year in a row. In, clothes and we believe relationships are a key differentiation for a bank. That is why we are taking the best of our personal person interactions and enhancing them with unusual capabilities to connect our customers, trusted partners and advisers. Today always our focus is on serving people. Relationships are the center of our business and the core of all the communities we serve. And that commitment will never change. With, that thank you for your times and for the work you do for our country, i look forward to your questions. Thank you. Thank you very much mister caesarean. We will now go to mr. William demchak. You are now recognized for five minutes to present your oral testimony. Thank, you chairwoman moderate waters. Chairwoman waters Ranking Member mchenry and distinguished members of the committee, i am pleased to be here on behalf of nancy Financial Services. B and c is a main stream organization focused on traditional banking activities, we were essentially done in the same business for 170 years, which is when we are found in our priorities. It has helped customers save and move money. We are a large bank, by historical standards. But we are one 60 size of some of the banks represented on the cradle. Look at your Capital Markets activities, limited derivative and foreign operations. P c is not a global systemically important bank. We are, what we are is a financially strong and Resilient Bank is committed to serving communities and affairs and transparent work in a transparent way. I am proud that p c was the first large bank to actually modify its overdraft practice. Since the rollout of our low cost cash mode products, Overdraft Fees a