Washington - Two large industry trade groups have asked the Treasury Department to give banks and thrifts more time to identify securities that must be marked to market.
The heads of the Savings and Community Bankers of America and the American Bankers Association also said they are concerned that the Treasury may decide to define "dealers in securities" as any bank that makes loans to customers.
If so, "it would seem to follow that every institution's entire loan portfolio will have to be marked to market," said Donald G. Ogilvie, executive vice president of the ABA, and Paul Schosberg, president of the SCBA.
The two urged Treasury not to rule that lending activities by themselves qualified a bank as a dealer.
In addition, they argued that the industry needs "basic additional guidance" before institutions can be expected to comply. The law was set to take effect on Oct. 31.