House Committee Passes Three ABA-Backed Bills

The House Financial Services Committee today approved three American Bankers Association-backed bills. H.R. 4790, which cleared on a strong bipartisan vote of 50 to 10, would designate the Federal Reserve as the primary rulemaking agency for the Volcker Rule, which would significantly simplify the Volcker-related policymaking process. The bill, introduced by Rep. French Hill (R-Ark.), would also exempt banks with $10 billion in assets or less from the Volcker Rule.

H.R. 4861, passed on a party-line 34-26 vote and introduced by Rep. Trey Hollingsworth (R-Ind.), would repeal FDIC guidance on deposit advance products and direct federal banking agencies to create new guidance that does not limit consumers’ access to short-term small-dollar loans. “This legislation will allow banks of all sizes to better serve their communities by permitting them to establish sustainable and responsible small-dollar loan programs,” ABA said.

The committee unanimously passed H.R. 5076, introduced by Rep. Claudia Tenney (R-N.Y.), which would increase the asset threshold from $1 billion to $3 billion for insured depository institutions eligible for 18-month on-site examination cycles.