Comments of the Week: Regulators' Sinking Reputation, Questioning TBTF
Published April 5, 2013 8:11 AM
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Updated April 5, 2013 8:38 AM
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.(Image: Thinkstock)
On the Federal Housing Administration's plan to get banks to loosen lending standards:
"As a bank chairman I cannot believe this is even getting traction in Washington … Heaven help us."Related Article: FHA Working on Plan to Increase Lending, Reduce Banks' Risk (Image: Thinkstock)
On the housing market favoring investors over consumers:
"For there to be a true recovery in housing, the 'little guy' can't be shut out."Related Article: Housing Market Favors Investors, Shortchanges Consumers (Image: Thinkstock)
On Iceland indicting bankers over the financial crisis:
"Iceland did not bail out the banks, is indicting the criminals who brought them down and as I recall, their economy is doing pretty good . . . anyone else see a pattern?"Related Article: Iceland Indicts Bankers Over Financial Crisis (Image: Thinkstock)
On why more bankers aren't punished by the feds:
"They don't officially punish bankers very often because ... wait for it ... the incredible majority of bankers are absolutely playing by the rules."Related Article: 'Too Big to Jail' Symptomatic of What's Wrong with Federal Oversight (Image: Thinkstock)
On the tough questions associated with ending 'too big to fail':
"Are we opening Pandora's Box by allowing the government to decide what is 'too big to fail'?"Related Article: Facing the Tough Questions on Ending 'Too Big to Fail' (Image: Thinkstock)
On the hard questions associated with breaking up the big banks:
"It is rather 'easy' to give society the feel good notion of breaking up megabanks. It is but another thing to actually execute on such a plan without toppling the whole edifice and destabilizing the global economy."Related Article: Facing the Tough Questions on Ending 'Too Big to Fail' (Image: Thinkstock)
On former JPMorgan CEO William Harrison asserting bank breakup efforts will fail:
"Harrison, how's the caviar and fine champagne?"Related Article: Bank Breakup Push Will Fail: Ex-JPM CEO Harrison (Image: Thinkstock)
On how big banks can revamp their image:
"Don't promise relationships and deliver only monthly statements."Related Article: How Can Megabanks Revamp Their Image? Go Back to Basics (Image: Thinkstock)
On a call for community banks to put together better-rounded boards:
"Small banks struggle to recruit directors in a climate of high regulatory risk and low compensation. Would you serve on a bank board for a $350 to $500 fee per meeting/month?"Related Article: Banks Need More Well-Rounded Boards (Image: Thinkstock)
On the call to better manage vendor risk:
"Choosing and monitoring vendors is part of operational risk, that is, the breach in day to day activities due to people, technology, processes and external threats … So long as banks and other companies ignore operational risk, they will continue to be undercapitalized for these events."Related Article: Managing Vendors Involves Managing Risk (Image: Thinkstock)
On regulators' sinking reputation:
"Quick response and prompt action is crucial to any regulatory measure … The delayed actions create history."Related Article: Regulators' Reputation Sinks Along with Industry's (Image: Thinkstock)
