House Expected to Pass Bank Deregulation Bill Next Week, Pare Back Parts of Dodd-Frank
GOP aides have told Politico that the House of Representatives will vote next Tuesday on the bank deregulation bill that passed the Senate in March. If passed, the measure would head to the President’s desk for signature. The legislation enjoyed bipartisan support in the Senate, passing with a vote of 67-31 after more than a dozen Democrats supported it.
The bill is being heralded as the biggest bank deregulation bill since 1999 and would make significant changes to the regulations instated with the passage of Dodd-Frank in 2010.
One of the most talked about measures would provide relief for big regional banks, like American Express, Fifth Third, and Sun Trust, by giving them more flexibility in where they spend their money.
It would also roll back regulations on the smallest banks and credit unions, namely those with less than $10 billion in assets. Rules intended to make sure they can weather downturns would now be more lax for these institutions.
The legislation also provides significant benefits to Wall Street and some of the biggest banks in the country by relaxing or removing altogether many regulatory measures.
One of the consumer benefits offered by the bill is a measure that would require Equifax, Experian, and TransUnion to provide free credit freezes to all consumers, as well as free credit monitoring to active-duty military. The credit monitoring agencies, too, would see some benefit, as military members receiving free monitoring would not be able to sue the company if there is a problem with the services. In addition, the bill helps monitoring companies expand a proposed credit offering for home mortgage applicants.
Read more about the bill’s highlights at Politico.
After the Senate bill passes, the House may look to move additional measures, though their future in Congress is uncertain.