Intelligent Fin.tech Issue 25 | Page 12

NEWS
NEWS
Bread Financial launches IRA retirement savings and CDs

Bread Financial , a tech-forward financial services company , has introduced its IRA Retirement Savings and CDs , a new individual retirement account ( IRA ) offering that includes High-Yield Savings Accounts ( HYSA ) and Certificates of Deposit ( CD ) options . The new product is designed to empower customers by helping them achieve their retirement goals with highly competitive IRA rates and tax advantages , supplementing their traditional retirement savings .

Bread Financial ’ s IRA Retirement Savings and CDs combines traditional IRAs with the benefits of a HYSA and CD to grow customers ’ retirement savings . With highly competitive interest rates and tax benefits , customers can open an account in minutes and boost their savings for retirement .
Key benefits include :
• IRA choice : Choose from both traditional and Roth IRA options .
• Competitive rates : Earn top-tier interest rates to optimise returns .
• Tax advantages : Benefit from qualifying taxdeductible contributions or tax-free withdrawals , depending on the IRA type chosen .
• No monthly fees : Enjoy savings without worrying about additional charges .
• FDIC insured : Receive added security with an additional US $ 250,000 of protection beyond standard savings accounts .
“ Our new retirement savings offering underscores our commitment to empowering customers with the best
financial solutions at every life stage ,” said Mark Colucy , Senior Director of Banking Operations , Bread Financial . “ With our IRA Retirement Savings and CDs , customers can boost their retirement savings goals and build toward a more financially secure future .”
Starling Bank apologises and accepts FCA findings following investigation into compliance shortcomings in its investigation and accepts its finding that the Bank ’ s financial crime controls failed to keep pace with the growth of the business . Starling has paid a fine of £ 29mn as full and final settlement .
The Bank has completed both a detailed re-screening of transactions and an in-depth back book review of customer accounts in respect of the contraventions detailed in the Notice .

Starling Bank confirms that it fully accepts the findings set out in the Final Notice published by the Financial Conduct Authority ( FCA ). This resolves the investigation referred to in the Bank ’ s annual report in June 2024 . Starling regrets and apologises for the events and shortcomings that led to the FCA ’ s Final Notice . The Final Notice details failings that occurred at Starling between December 2019 and November 2023 in relation to the onboarding of certain high-risk customers and sanctions screening processes . These failings resulted in breaches of existing Voluntary Requirements ( VREQ ) and a breach of Principle 3 of the FCA ’ s Principles for Businesses .

The breaches of the VREQ were identified by Starling and proactively communicated to the FCA . Starling has cooperated fully with the FCA
In response to the FCA ’ s investigation , and as a result of the Bank ’ s continuous review of processes and controls , Starling has introduced extensive additional safeguards to ensure the Bank complies with regulatory requirements . Starling has significantly increased capability , structure and resources across all lines of defence . Enhanced controls in respect of the Bank ’ s monitoring and oversight of its compliance with the VREQ and in respect of its financial sanctions screening systems and controls are now in place . Through extensive investment into the Bank ’ s financial crime resource and expertise , Starling is satisfied that it has the required compliance and risk management controls , procedures and policies in place .
David Sproul , Chairman of Starling Bank , said : “ I would like to apologise for the failings outlined by the FCA and to provide reassurance that we have invested heavily to put things right , including strengthening our board governance and capabilities .” �
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