Unilateral approaches to bank regulation are risky, but the OCC's plan to seek public comment independent of the other agencies could help shed light on a CRA debate that is now being waged internally.
A top regulator has signaled that the banking agencies are receptive to extending the comment deadline, after banks raised concerns about a proposed revision to the ban on proprietary trading.
With strategic changes at key trade groups and attention shifting away from regulatory relief for community banks, the interests of large institutions have taken on more prominence.
The FBI and DOJ are looking into what could be one of the largest mortgage frauds since the financial crisis; lawyers for the banks met with the Fed last week.
The proposal released in May to clarify how banks comply with the proprietary trading ban would “undermine a fundamental provision" of Dodd-Frank, lawmakers said.
In a letter to heads of five Federal regulators, Sens. Elizabeth Warren, Sherrod Brown and Jeff Merkley say the public should know the impact of Volcker in light of proposed changes.
The House appropriations bill would also expedite the appeals process for CFPB examination decisions and reduce the number of times big banks must submit resolution plans to every two years.
