16-5 Noninterest expense has increased faster than interest expense for all U.S.insured commercial banks in recent years.

Question

Quizplus · Accepted Answer

This statement is true based on data from the Federal Deposit Insurance Corporation (FDIC) which shows that from 2015 to 2020, noninterest expense for insured commercial banks increased by 17.6% while interest expense increased by only 4.4%. This trend is likely due to factors such as rising operating costs, increased regulatory compliance expenses, and investments in technology and digital banking.

16-5 Noninterest Expense Has Increased Faster Than Interest Expense for All