WASHINGTON—NAFCU and CUNA have joined with the American Bankers Association and the Independent Community Bankers of America in a letter to Senate leadership urging action on regulatory relief with Congress now back in session.
The letter, which notes the four groups represent nearly 14,000 financial institutions of all charter types, said there is “strong support for promptly enacting comprehensive bipartisan financial regulatory relief that will better allow financial institutions to continue to serve millions of consumers and thousands of communities throughout this country.”
The letter goes on to argue that the growing volume and complexity of regulations is driving the decline in community financial institutions and their ability to best serve the needs of their customers and to generate local economic activity and jobs.
“Remaining community financial institutions are forced to hire new compliance staff, instead of loan officers, and to adjust or eliminate the type of services that they can provide in their communities,” the letter states. “While these institutions have shown a great deal of resiliency in this growing regulatory environment, and have continued to help consumers purchase homes and meet other financial needs, many have reached the point where meaningful relief is critical.”
The four groups said they have “continually heard senators on both sides of the aisle express support for helping our nation’s community financial institutions,” and said that bills currently before the Senate, including S. 1484, the Financial Regulatory Improvement Act of 2015, “are a step in the right direction.” That bill has already been approved by the Senate Banking Committee.
“With limited time remaining in this Congressional session, it is imperative lawmakers work together and pass a legislative product that is bipartisan, and provides meaningful relief for community institutions and consumers throughout this country,” the letter concludes.