Bank of America Has 'Accountability' in Face of Fines, Says Moynihan

Look, at the end of the day, we had an examination a few years ago. We got a cease and desist order. We have to do that work. This fine relates to that effort. There was a debate about what exactly we had to do that's resolved just behind us. $2 billion is going through. We've been expanding the money to in the run rate already to do the remediation. Because, you know, a few months ago, we started picking up the cost structure and putting it in. So we'll get it done. We take it seriously. And I think as time goes by, people will understand it better.

That's the case for the operational costs to do the work. We've added a lot of expense and it's in our baseline and we will continue to operate that. And again, it's a few hundred million dollars in the quarter here. And so it's not an additional expense that we've been running through. So we got an understanding, a clear path forward. We've been completing a lot of tasks, frankly, over the last several months. And we'll continue to finish it up. It came a lot about how the thresholds are set and things like that. There's a lot of technical discussion about it. At the end of the day, we understand what we need to do. We're doing it and we'll deliver it.

We have accountability for everything we do in the company, including a fine. We've gone through it before. In 2004, there was accountability for the examination, the order already taken. And so the board will decide that we get to the end of the year.

Yeah. So we basically grew up $400 million in second quarter, third quarter. The markets contribution, which other people have to, it was basically flat. And so as you look forward, what's happening is the core loan book is growing and a quarter of positive books growing. Our total cost of deposit, 149 basis points, that grew 2% year over year. And the non-interest bearing grew 5%. The loans grew 6 or 7%, and the core businesses grew. Commercial business grew 8%. That's great. Activity also bodes well for the U.S. economy because companies are borrowing. But if you look at that NII, what we said back last fall was this year, '26 would be a 5 to 7% increase over '25. We've now raised that, now said we confirm 8% for the year. And then at that same time we sort of said 5 to 7 for '27 and we just raised that to 8% plus. And that is just the stair step, climbing those stair steps of more loans, more deposits, and then the repricing of the balance sheet. And that just walking up, we're up 15 basis points in net interest yield, while others in the industry are falling. And that's just the efficiency of the balance sheet coming through. And so that has returns. You know, we made $8 billion absent the charge. It's almost $7 billion with the charge, be the second highest earnings of the group. And so there's a lot of momentum. Our consumer bank made $3.5 billion. Our virtual bank made $2 billion. Our wealth management company made a day and a half and grew faster and appears. And so there's a lot of good things around the Main Street side. And frankly, even on the market side, you know, we have $5 billion trading revenue quarter against our peers. It didn't hold up as well. But if you do the fixed income mix, but the reality is it was one of the stronger third quarters we had in trading and investment banking. We told people 3 or 4 weeks ago to be 1.6 to 1.8, came out at 1.8. So that again, that's a positive quarter. So we feel good about the franchise, the pipelines are full, etc. But it's that good core engine of NII that's growing at 8% when others are not coming close to that. That's driving our earnings forward.