MetLife Inc., the largest U.S. life insurer, may be pressed to speed its exit from banking after the Federal Reserve rejected plans for a dividend increase and share repurchase.
This may explain the low deposit rates at MetLife Bank.
The extra regulation placed on banks is causing other insurers to dump their banks. Two other insurance companies were mentioned in the article.
Allstate Corp., the largest publicly traded U.S. home and auto insurer, said in August it would shut its bank after a plan to sell deposits to Discover Financial Services failed to win regulatory approval. Insurer Hartford Financial Services Group Inc. struck a deal in May to sell the lender that it had acquired in 2009 to qualify for a bailout.
I wonder what State Farm many have in mind with its bank.