ICBA Highlights Regulatory Burdens During Congressional Hearing – NMP Skip to main content

ICBA Highlights Regulatory Burdens During Congressional Hearing

NationalMortgageProfessional.com
Apr 09, 2014

The Independent Community Bankers of America (ICBA) told members of Congress that community banks nationwide have identified regulatory burden as a top concern in providing credit in their communities. In a statement for the House Committee on Financial Services hearing, Who’s in Your Wallet: Examining How Washington Red Tape Impairs Economic Freedom, ICBA said that reducing regulatory burdens will help grow local economies and create jobs in local communities. “In order to reach their full potential as catalysts for entrepreneurship, economic growth, and job creation, community banks must have regulation that is calibrated to their size, lower-risk profile, and traditional business model,” ICBA said in its statement for the record. “A one-size-fits-all regulatory system for the banking sector is tremendously detrimental to community banks and the local economies they serve and support. Working with community bankers from across the nation, ICBA has developed its Plan for Prosperity, a platform of legislative recommendations that will provide reasonable and meaningful relief for community banks and allow them to thrive by doing what they do best—serving and growing their communities.” The multi-pronged Plan for Prosperity was designed in 2013 to help reduce excessive regulation for community banks while supporting greater regulatory accountability. Key provisions of the plan have been introduced in Congress and are moving through the House and Senate. The plan would: ►Provide “Qualified Mortgage” status for community bank portfolio loans, ►Exempt community bank portfolio loans from new escrow requirements, ►Expand mortgage rule exemptions for small servicers, ►Reinstate appraisal exemptions for certain community bank portfolio mortgages, ►Relieve publicly traded community banks and thrifts from accounting and auditing expenses, ►Support mutual banks with new charter options, ►Require a cost-benefit analysis for new rules, ►Reform the Consumer Financial Protection Bureau to ensure more balanced regulation, and ►Modernize the Federal Reserve’s small bank holding company policy statement to support additional capital for these institutions. Referenced in ICBA’s statement was the George Mason University Mercatus Center’s recently released Small Bank Survey, which found that compliance costs have increased for more than 90 percent of community bank respondents. Additionally, the association reminded Congress that new mortgage regulations were enacted in response to abuses in which community banks did not engage. Community banks represent approximately 20 percent of the mortgage market, and the majority of that lending is concentrated in small towns and rural areas of the nation that are not effectively served by other financial institutions.
Published
Apr 09, 2014
CFPB Seeks Insight On Creating A Fairer Mortgage Market

The Consumer Financial Protection Bureau has been actively looking to create a fairer mortgage market, free of discriminatory engagements. To do so, it issued a Request for Information to seek input on rules implementing the Home Mortgage Disclosure Act.

Regulation and Compliance
Nov 17, 2021
Regulators Renew Effort to Protect Against Foreclosures

CFPB, The Fed, FDIC and other agencies will watch for compliance with COVID-19 protections

Regulation and Compliance
Nov 10, 2021
Fed To Begin Tapering Asset Purchases by 14.3% This Month

Also sets target range for the federal funds rate at 0 to 1/4%.

Regulation and Compliance
Nov 03, 2021
CFPB Cracks Down On Discriminatory Credit Reporting For Black And Hispanic Consumers

Consumers in majority Black and Hispanic neighborhoods are far more likely to have disputes appear on their credit reports. 

Regulation and Compliance
Nov 03, 2021
CFPB Names 2 New Assistant Directors

Former Obama Administration officials will lead Supervision Policy, Enforcement divisions.

Regulation and Compliance
Oct 29, 2021
FHFA Proposes Extra Disclosure Rules For Fannie, Freddie

The proposed rule for the Enterprise Regulatory Capital Framework seeks to put Enterprises on a "level playing field" with U.S. banking requirements.

Regulation and Compliance
Oct 28, 2021