-
Treasury Secretary Jacob Lew and financial industry officials warned lawmakers on Thursday about the multitude of economic consequences that a default on government debt could bring, just days before the country reaches its borrowing limit.
October 10 -
Bankers warn that a default on certain Treasuries could put market collateral at risk, harm overnight lending, drain key sources of liquidity from the market and shatter consumer confidence.
October 7
Groups representing the U.S. financial-services industry urged Congress to resolve the debt limit debate because a default on the nation's obligations "should not be an option for policy makers to consider."
"We urge you to again take the necessary steps to preserve our nation's financial standing in the world and help ensure that the American economy continues on its current path toward restored prosperity by eliminating the uncertainty as to whether or not we will incur an historic default and raising the debt ceiling," the associations said in a Jan. 30 letter to lawmakers.
Among the groups listed on the letter were the American Bankers Association, the U.S. Chamber of Commerce, the Financial Services Forum, the Financial Services Roundtable, the Independent Community Bankers of America, and the Securities Industry and Financial Markets Association.
