All articles tagged with #dodd frank
Originally Published 2 months ago — by Politico
The Trump administration's move to declare CFPB funding illegal threatens the agency's operations by arguing it cannot draw money from the Federal Reserve, potentially leading to its dismantling, which critics warn would reduce consumer protection oversight.
Originally Published 2 months ago — by HousingWire
President Trump proposed a 50-year mortgage to improve housing affordability by lowering monthly payments, but legal and practical challenges, including current restrictions under the Dodd-Frank Act, pose obstacles to its implementation.
Originally Published 3 months ago — by TipRanks
The article discusses potential deregulation efforts by Donald Trump that could unlock $2.6 trillion in bank lending capacity in the US, possibly reducing the need for further interest rate cuts by the Federal Reserve and significantly boosting earnings for major US banks like JPMorgan Chase, while raising concerns about financial stability and global regulatory impacts.
Originally Published 1 year ago — by Slate
The Supreme Court case Corner Post v. Board of Governors could have far-reaching implications for the administrative state and regulatory past and future. The case involves a technical debate over the statute of limitations for challenging regulations, with potential to open the door for nonstop litigation against old rules. If successful, it could empower industry to challenge old regulations and significantly restrict agencies' ability to make and enforce rules, ultimately impacting millions of Americans and posing a threat to constitutional democracy.
Originally Published 2 years ago — by Reuters
The U.S. Securities and Exchange Commission (SEC) has adopted a rule, mandated by the Dodd Frank law, that prohibits traders in asset-backed securities from betting against the same assets they sell to investors. The rule aims to prevent conflicts of interest and eradicate behavior that contributed to the 2008 global financial crisis. The rule applies to underwriters, placement agents, and sponsors for asset-backed securities, but exempts activities such as hedging risk and market-making. The SEC modified the proposal to include exceptions for affiliates not acting in concert with traders and investors with "long" positions. The rule will be effective for asset-backed securities closing 18 months after it appears in the Federal Register.
Originally Published 2 years ago — by CNBC
Experts argue that the recent collapse of Silicon Valley Bank, Signature Bank, and Credit Suisse could have been prevented by better regulation and supervision by the Federal Reserve. The focus should be on ensuring that the rules are being enforced, and the danger of deregulation has been revealed. The rollback of Dodd-Frank regulations by the Trump administration has been pointed to as one of the main reasons for the bank's failure.
Originally Published 2 years ago — by NPR
President Biden has urged banking regulators to take additional steps to reduce the risk of mid-sized bank failures. The White House blames the Trump administration for weakening regulatory requirements for mid-sized and regional banks. The steps include boosting liquidity requirements, increasing capital stress tests, ensuring stress tests begin shortly after banks first reach $100 billion in assets, reinstating requirements for mid-sized banks to have "living wills," and stronger capital requirements for regional banks.
Originally Published 2 years ago — by Fox Business
Senator Mark Warner has said he will return donations he received from Silicon Valley Bank if there is evidence of "malfeasance" uncovered at Tuesday's hearing by the Senate Banking Committee. Warner was one of 16 Democrats who voted for a 2018 law that rolled Dodd-Frank banking regulations put in place after the 2008 financial crisis. In the wake of Silicon Valley Bank collapsing, the rollbacks have received fresh scrutiny. Democratic lawmakers Chuck Schumer, Maxine Waters, and Ro Khanna have returned those donations.
Originally Published 2 years ago — by CNN
Senator Elizabeth Warren and ten other senators are calling for the Federal Reserve to tighten regulations on large regional banks with assets between $100 billion and $250 billion, following the collapse of Silicon Valley Bank and Signature Bank. The lawmakers argue that the 2018 rollback of Dodd-Frank freed these banks from the toughest oversight, leading to irresponsible and excessive risk-taking. The Fed has launched a review of Silicon Valley Bank's regulation and oversight, and is rethinking some of its own rules related to midsize banks. Warren has long been a regulation hawk, pushing for tough rules to prevent a repeat of the 2008 crisis.
Originally Published 2 years ago — by The Associated Press
A lobbying campaign that cost tens of millions of dollars and drew an army of hundreds of lobbyists helped roll back portions of a far-reaching 2010 law intended to prevent a future financial crisis. Those changes are now being blamed for contributing to the recent collapse of Silicon Valley Bank and Signature Bank that prompted a federal rescue and has stoked anxiety about a broader banking contagion. The banking industry spends prodigiously to fight regulation and often hires former members of Congress and their staff to make the case that they are not a source of risk to the economy.
Originally Published 2 years ago — by The Hill
Senator Elizabeth Warren has launched a wide-ranging offensive against the banking industry and the 2018 deregulation law signed by former President Trump that raised the threshold for banks subject to federal scrutiny from $50 billion to $250 billion. Warren's ongoing criticism is poised to cause a headache for President Biden and other Senate Democrats, especially those who voted for the 2018 rollback and are up for reelection in 2024. Dozens of Senate and House Democrats have since co-sponsored Warren’s bill, but it will be a non-starter in the GOP-controlled House or face a Republican filibuster in the Senate.
Originally Published 2 years ago — by Grid
Mid-size banks spent nearly $50 million on lobbying efforts to support the 2018 legislation that eliminated oversight rules, which experts say could have prevented the recent collapse of Silicon Valley Bank. The legislation eliminated key reforms instituted by the Dodd-Frank Act in 2010 for banks with between $50 billion and $250 billion in assets. Critics blame the weakened standards for a pair of bank failures that put the US financial system on the brink of systemic failure.
Originally Published 2 years ago — by NBC News
Moderate Senate Democrats who voted to loosen regulations on midsize banks in 2018 are standing by their votes in the wake of Silicon Valley Bank’s collapse, joining Republicans in resisting enhanced scrutiny for financial institutions. The Democrats' resistance to new bank regulation indicates a tough slog facing legislation unveiled this week by Sen. Elizabeth Warren, D-Mass. The bill would repeal the heart of the 2018 bill, which eased Dodd-Frank scrutiny imposed in 2010 by raising the "too big to fail" limit from $50 billion in assets.
Originally Published 2 years ago — by CNBC
Former CEO of Silicon Valley Bank, Greg Becker, backed two tech industry lobbying groups, TechNet and Silicon Valley Leadership Group, that lobbied government officials on issues tied to the bank, including the Dodd-Frank financial reform law and corporate tax cuts. Becker chaired TechNet and was a board member of the Silicon Valley Leadership Group before stepping down earlier this year. The lobbying adds to a string of efforts to influence policy that has drawn lawmakers' attention since the bank's failure. Some members of Congress have sought more information on the practices that left the bank vulnerable and its push to chip away at regulations.
Originally Published 2 years ago — by Yahoo Finance
Senator Elizabeth Warren has written a letter to the CEO of Signature Bank, demanding answers for the bank's "disastrous" collapse. Warren accuses the bank of engaging in "excessive risk-taking" and leaning on a "get-rich-quick narrative" during its foray into the crypto world. She also alleges that the bank fought to support efforts to curtail capital requirements embedded in the Dodd-Frank Wall Street Reform law and funneled thousands of dollars in campaign donations to leaders of the effort to loosen bank regulation in Congress. Signature Bank was seized by regulators on Sunday, becoming the third-largest bank ever to fail in the US.