BANK BURDEN: Feds Seek Comment on Reg Relief

Washignton D.C. – In a shocking move, the Federal Reserve Board, Federal Deposit Insurance Corporation, and Office of the Comptroller of the Currency have joined forces in a brazen effort to reduce regulatory burden on financial institutions.

The Economic Growth and Regulatory Paperwork Reduction Act of 1996 has forced the Federal Financial Institutions Examination Council and federal bank regulatory agencies to review their regulations every 10 years. And it seems like they’re finally taking action, soliciting comments on their regulations in three categories: Applications and Reporting, Powers and Activities, and International Operations.

According to the FDIC, comments on the relevant regulations will be accepted for 90 days after publication in the Federal Register. And that’s not all – the agencies plan to hold outreach meetings where interested parties can comment on applicable regulatory requirements directly to the agencies.

The review process will be a long one, with the agencies requesting comment on regulations in the remaining categories over the next two years. But critics are already speaking out, questioning the motives behind the move.

“This is just a thinly veiled attempt to weaken regulations and put profits over people,” said Jane Doe, a consumer advocate. “We need to be vigilant and make sure that these agencies are truly committed to reducing regulatory burden, not just making it easier for banks to game the system.”

The agencies are adamant that the review process is necessary to identify outdated or unnecessary regulatory requirements and reduce regulatory burden on financial institutions. But only time will tell if their efforts will pay off.