US District Judge Gregory Van Tatenhove ruled in favor of the Federal Reserve's rule that limits debit card interchange fees to 21 cents per transaction. The decision comes in a lawsuit brought by a restaurant in Frankfort, Ky., challenging the rule. In August, a federal judge in North Dakota ruled against the Fed's cap in a separate case and stayed his decision to give the Fed an opportunity to appeal.

Inflation and elevated interest rates are leading to increased signals of financial strain for some US consumers, according to FICO. The average FICO score has experienced a 2-point decrease this year, dropping to 715. The biggest decline is among Generation Z amid record-high student loan delinquencies, FICO data shows.

Payment volume at Zelle rose 23% year over year in the first half, reaching $592 billion. Small businesses have become the fastest-growing segment for Zelle, as payments in this category increased 31%, to $180 million. Zelle is targeting microbusinesses that need to move money quickly and efficiently, and the platform appeals to gig workers, contractors and independent earners, General Manager Denise Leonhard said.

The Securities and Exchange Commission and federal prosecutors have charged Daryl Heller of Pennsylvania in connection with an alleged Ponzi scheme that raised $770 million from 2,700 investors in an ATM network. Prosecutors allege that Heller told investors their returns would be around 25% and that he used funds from new investors and high-interest loans to pay returns to earlier investors. Prosecutors say the alleged operation started to unravel when new investments slowed in spring 2024, prompting bankruptcy proceedings and a wave of legal actions against Heller and his businesses.

The Federal Reserve is expected to cut interest rates by a quarter point Wednesday to support a weakening labor market, marking its first policy shift of the year after tariff-driven inflation concerns kept it on hold. Fresh projections due with the decision are expected to signal one or two more cuts this year, though dissent among policymakers looms. "Every cut is more difficult than the previous cut unless the labor market shows signs of continued deterioration," said Aditya Bhave, senior US economist at Bank of America.

Institutional investors, including pension funds, hedge funds and asset managers, are expected to strongly oppose President Donald Trump's proposal to end quarterly earnings reports. Many rely on frequent disclosures to closely monitor company performance and manage risk. Investors argue that quarterly updates are essential for tracking developments and making informed decisions, especially during volatile periods.