Tag Archives: Community Banks

With many smaller banks either failing or struggling to continue operations due to increased costs of doing business, Comptroller of the Currency Thomas Curry recently spoke at the Federal Home Loan Bank of Chicago about some of the latest innovations brought about to help community banks get back in the lending game.

“The CFPB continues to issue new regulations designed for massive, ‘systemic-risk’ financial institutions without considering how those same rules harm small businesses, community banks, and credit unions,” Pittenger said last month after H.R. 1195 passed in the House.

Increased litigation expenses at a few larger banks caused the Q4 aggregate net income for commercial banks and savings institutions insured by the Federal Deposit Insurance Corporation (FDIC). The FDIC Chairman was still encouraged by the numbers, however.

During a hearing spread out over two days at the U.S. Senate Committee on Banking, Housing, and Urban Affairs on February 10 and 12, Committee chair Richard Shelby (R-Alabama) pointed out a “bipartisan understanding” that financial institutions need relief from perceived overregulation.

A new study conducted by the Federal Deposit Insurance Corporation (FDIC) suggests that small bank's fears over increased regulations and consolidation are largely unfounded. The study, "The Continued Resiliency and Importance of Community Banks Amid Long-Term Industry Consolidation," comments that bank consolidation is largely restricted to very small and very large banks.