Sumability
Topics
  1. Home
    2. >
  2. Business šŸ’¼
Posted

U.S. Banks Accuse Regulators of Violating Laws with Capital Requirements Proposal

  • U.S. bank groups accused regulators of violating federal laws with a capital requirements proposal, saying it lacked sufficient data and analysis.

  • The groups said regulators should freeze work on the rules until properly re-proposed, laying groundwork for a possible legal challenge.

  • Executives at JPMorgan, Goldman Sachs, and others opposed the rules, saying they could curb lending and lacked transparency.

  • The House Financial Services Committee will hold a hearing on the proposal amid banks' lobbying efforts against it.

  • The rules aim to boost bank reserves to guard against losses after bank crises, but banks argue the requirements are excessive.

reuters.com
Relevant topic timeline:
Regulators propose changes to ā€˜living willsā€™ and debt rules for big banks in wake of crisis
Federal financial regulators are proposing new rules that would require larger banks to maintain a layer of long-term debt in order to increase financial stability and facilitate the resolution of potential bank failures, following a series of regional bank collapses earlier this year.
CFPB Suffers Legal Defeat on Anti-Discrimination Authority
A federal judge ruled that the U.S. Consumer Financial Protection Bureau (CFPB) does not have broad authority to address discriminatory banking practices, favoring financial industry groups that sued the regulator.
JPMorgan's Dimon Criticizes Bank Capital Rules, Warns of Economic Risks Ahead
JPMorgan Chase CEO Jamie Dimon criticizes stricter capital rules proposed by U.S. regulators, warning that they could impede economic growth and decrease lender investment.
House Panel Approves Bill to Ban Fed Digital Currency, Despite Opposition
The House Financial Services Committee has approved a bill banning the Federal Reserve from creating a central bank digital currency, which must now be considered by the House of Representatives.
Coinbase CEO Criticizes UK Banks' Crypto Bans, Urges Government Regulation
Coinbase CEO Brian Armstrong criticizes JPMorgan Chase's decision to block crypto transactions at its U.K. digital banking subsidiary, calling for government regulation rather than banks de-platforming the industry.
Fed Vice Chair Defends New Bank Capital Rules, Disputes Banker Concerns of Reduced Lending
Federal Reserve vice chair of supervision Michael Barr refutes claims that new US proposals requiring banks to increase their capital buffers would harm the economy, citing the growth and profitability experienced by the banking industry following changes implemented after the 2008 financial crisis.