'Somebody Needs to Go to Jail': Comments of the Week
September 8, 2016 3:30 PM
American Banker readers share their views on the most pressing banking topics of the week. Comments are excerpted from reader response sections of AmericanBanker.com articles and our social media platforms.
On claims that Wells Fargo wrongfully opened unauthorized bank and credit card accounts for more than 2 million customers:
"The last time I looked forgery, fraud, and mail fraud were federal crimes. Somebody needs to go to jail!"
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On how new regulations discourage the very loans to low-income borrowers that regulators want banks to make:
"Like this wasn't totally predictable?"
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On efforts by smaller institutions to improve data capabilities:
"The challenge here for community banks and CU's are people, budget, and technology integration. While the technology is clearly there, combining and integrating are more complicated for any organization, especially ones with small IT departments."
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On the dearth of new bank charters:
"I do believe that we are in a paradigm shift and that because of technology, economies of scale, generational change, and near zero interest rates for as long as one can see, we will not see a large number of de novo banks chartered annually for many years to come if ever."
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Looking beyond the regulatory barriers to starting new banks:
"The real moratorium on de novo activity was indeed the reality of the markets; investors do not eagerly invest in losing endeavors. Low or no returns equates to no de novos."
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On the lawsuit by the Independent Community Bankers of America over the National Credit Union Administration's member business lending rules:
"Why compete with them if you [c]an sue to prevent competition?"
On the long history of state-level obstacles to nationwide financial businesses:
"This issue is older than the federal government. When we first split from English rule the nation was governed by Articles of Confederation that left most powers to the states. That failed mostly because of the many impediments imposed by the states on the flow of commerce."
Taking issue with the notion of the Office of the Comptroller of the Currency creating a fintech charter:
"The terms bank and banking are well-defined and widely understood. Fintech, though casually tossed about, is neither well-defined nor well understood, and covers a vast spectrum of disparate products and services. To suggest the OCC should issue limited-purpose bank charters to facilitate fintech companies may seem a convenient idea for proponents, but as a matter of practical application, poses more questions than answers."
