Warren Throws Water on Regulatory Relief for Small Banks
At a Senate Banking Committee hearing on February 12, community bankers pushed for a bill to shield them from new rules on mortgage loans, trading operations and other mandates. Democrats on the committee were divided on the issue, with moderates like Sens. Heidi Heitkamp (D-N.D.) and Jon Tester (D-Mont.) agreeing that community bankers are struggling and need eased regulations. Elizabeth Warren (D-Mass.) broke with the moderates, citing statistics that show small lenders’ profits have risen over the last year. “[T]he financial performance of the community banks shows that Congress and the regulators, I think, have done a pretty good job in tailoring the rules to community banks,” she said.