'Regulatory Relief' for Banking: Selected Legislation in the 114th Congress [May 14, 2015]   [open pdf - 378KB]

"The 114th Congress is considering legislation to provide 'regulatory relief' for banks. The need for this relief, some argue, results from new regulations introduced in response to vulnerabilities that were identified during the financial crisis that began in 2007. Some have contended that the increased regulatory burden is resulting in significant costs that restrain economic growth and consumers' access to credit. Regulatory burden is the cost associated with government regulation and its implementation. Others, however, believe the current regulatory structure strengthens financial stability and increases protections for consumers, and they are concerned that regulatory relief for banks could negatively affect consumers and market stability. Regulatory relief proposals, therefore, may involve a trade-off between reducing costs associated with regulatory burden and reducing benefits of regulation. The bills analyzed in this report propose to provide regulatory relief to banks in a number of different ways. Title VIII of H.R. 37 would extend the phase-in period for a provision of the Volcker Rule. Title III of H.R. 37 would expand exemptions on capital issuance to include thrifts. Similarly, H.R. 650, H.R. 1259, and H.R. 1529 would expand exemptions from mortgage regulations. H.R. 601 would limit the circumstances under which reporting requirements about privacy notices are triggered. H.R. 685 would change the definition of points and fees associated with a mortgage to exclude certain costs from a regulatory requirement. H.R. 1408 would delay the implementation of new capital requirements until regulators conduct a study of their impact on mortgage servicing assets (MSAs)."

Report Number:
CRS Report for Congress, R44035
Public Domain
Retrieved From:
Federation of American Scientists: http://www.fas.org/sgp/crs/index.html
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