Magazine : Archives : 4th Quarter 2009

Some Thoughts on Regulatory Reform

The Department of the Treasury’s regulatory reform proposals include creation of a sweeping new Consumer Financial Protection Agency (CFPA). But before creating a brand-new agency, Congress should be mindful of the already-heavy compliance burden borne by banks. This was well documented in a study commissioned by the American Bankers Association in 1982, and the burden is much heavier today. I have been dealing with banking laws and regulations for 40 years in a number of different capacities. Over the years, the tide of laws and regulations has been inexorably rising to the point where banks, particularly community banks, are near...