The American Bankers Association today warned lawmakers of the potential consequences of imposing interest rate caps on consumer credit products.
Browsing: Interest rates
As expected by economists, the Federal Open Market Committee today voted unanimously to hold the target range for the federal funds rate steady at 1.5% to 1.75%.
ABA yesterday expressed support for the OCC’s long-awaited regulatory solution affirming that permissible interest on a loan made by a national bank or federal thrift remains valid when the loan is transferred or sold.
The nation’s top bank economists forecast continued economic growth that would support job growth and wage gains in 2020 and beyond.
A strong labor market, moderate GDP growth and inflation below 2% factored into the Federal Open Market Committee’s decision at its latest meeting to maintain the federal funds rate in a target range of 1.5-1.75%, according to minutes released today.
Concerns about a slowdown in global growth and trade uncertainties remained prominent factors in the Federal Open Market Committee’s decision to cut interest rates by 25 basis points at the last FOMC meeting, according to minutes released yesterday.
Following action by the OCC yesterday, the FDIC proposed a rule stipulating that interest rates valid when the loan is made by a bank remain valid when the loan is transferred or sold.
The FDIC’s recent proposal to make changes to the national rate cap does not go far enough to address the problems with the current calculation methodology, ABA said in a comment letter today.
The Federal Open Market Committee announced today that it would cut interest rates for the second time this year.
The FDIC today proposed a new methodology for calculating the national rate and the national rate cap for specific deposit products.