Comments of the Week: Big-Bank Breakup, Risky Out-of-Market Loans
Published March 28, 2013 2:07 PM
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Updated March 28, 2013 3:00 PM
1 Min Read
American Banker readers share their views on the most pressing banking topics of the week. As excerpted from the comments sections of AmericanBanker.com articles.
On regulation hampering bank innovation:
"If you want to innovate, don't be a banker."Related Article: The Handcuffed Banker (Image: Thinkstock)
On Basel's treatment of assets:
"Is it only me or does anyone else find it astonishing … that 'securities issued by sovereigns' are Level 1 [lowest-risk] assets?"Related Article: Basel's Treatment of GSE Securities Threatens Housing Recovery (Image: Thinkstock)
On banks' pursuit of risky out-of-market loans:
"It would be all so much easier if regulators allowed banks to be banks again."Related Article: Out-of-Market Lending Presents Opportunities, Poses Risks (Image: Thinkstock)
On the possibility of a big-bank breakup:
"If Congress, the regulators and the Fed want to break up the big banks why are regulators trying to kill community banks."Related Article: How the Bank Breakup Debate Plays Out (Image: Bloomberg)
On a House bill that limits the number of fees a bank can charge for overdrafts:
"I suggest that our legislators start focusing their energy on balancing the country's budget and let me worry about mine."Related Article: House Democrats Introduce Overdraft Fee Bill (Image: Thinkstock)
On a House bill that limits the number of fees a bank can charge for overdrafts:
"The problem is that the expectation of growth in fees became substantially greater than the market opportunity so abuse was the solution for a number of bankers."Related Article: House Democrats Introduce Overdraft Fee Bill (Image: Thinkstock)
On the Consumer Financial Protection Bureau's auto lending crackdown:
"Indirect lenders generally never meet the borrowers and by law don't know if they are part of a protected class."Related Article: Banks Brace for Looming Crackdown in Auto Lending (Image: Thinkstock)
On the CFPB's auto lending crackdown:
"The unwary (whether part of a protected group or not) will likely pay more under a dealer-financing scheme."Related Article: Car Dealers Fight Back Against CFPB Auto Financing Rule (Image: Thinkstock)
On claims that consumer protection laws harm the unbanked:
"The idea that consumers … cannot have decent protections and access to credit is ludicrous."Related Article: Complex Consumer Protection Laws Keep Small Banks from Serving Unbanked (Image: Thinkstock)
On claims that consumer protection laws harm the unbanked:
"Applying many of these … regulations to smaller community banks … inhibits community bankers from fully serving the local population. Community banks are relationship lenders, let the relationship work."Related Article: Complex Consumer Protection Laws Keep Small Banks from Serving Unbanked (Image: Thinkstock)
On advocacy groups curtailing support for the mortgage interest deduction:
"There should be no sacred cows."Related Article: Divisions Start to Show in Homeownership Lobby (Image: Thinkstock)
