HARRISBURG, Penn. - Pennsylvania Secretary of Banking Steve Kaplan joined New York Banking Department Superintendent Richard Neiman and New Jersey Department of Banking and Insurance Commissioner Steven Goldman to sign an agreement that will make it easier for Pennsylvania banks to operate across state lines.
The Pennsylvania CU Association reported that the interstate branching agreement clarifies how the federal Riegle-Neal Amendments Act applies to Pennsylvania, New York, and New Jersey banks that have branches in Pennsylvania, New York, or New Jersey, ensuring that their operations remain subject to the laws of their home state.
“The agreement eliminates any uncertainty in the law that may have existed in the past and levels the playing field for more Pennsylvania banks to become regional powerhouses,” said Kaplan. “Pennsylvania banks can now grow and expand with the confidence that they’ll always answer one regulator and that it will be Pennsylvania.”
The agreement also strengthens existing coordination between states on consumer complaint issues by requiring written notification to the host state regulator of the findings and resolutions of specific complaints.
