WASHINGTON, D.C. – U.S. Senator David Perdue (R-GA) and 17 members on the Senate Banking Committee have drafted a bipartisan proposal to roll back significant portions of the Dodd-Frank Act, providing regulatory relief for Georgia’s community banks, credit unions, mid-sized banks, regional banks, and custody banks, none of whom contributed to the financial crisis of 2008. The proposal also improves important consumer protections, particularly for veterans, senior citizens, and victims of fraud.
“This is a huge win for our rural communities, small businesses, and the banks supporting them,” said Senator David Perdue. “This proposal will improve access to capital for small businesses, particularly in Georgia’s rural communities who have struggled with overregulation. In addition to this proposal, there is still work to be done. We will continue working with Secretary Mnuchin and the Trump Administration to eliminate even more regulations for consumers and business.”
“We appreciate the hard work of Senator David Perdue on behalf of the bankers and consumers in Georgia,” said Joe Brannen, President & CEO of the Georgia Bankers Association. “We are more hopeful that true relief can be accomplished in the near future so that Georgia bankers can continue to serve their communities in even more meaningful ways.”
Last spring, the Senate Banking Committee issued a request for legislative proposals from stakeholders, companies, and consumers aimed at creating economic growth. The committee then held a series of hearings exploring these ideas and has been drafting this proposal since that time. Democrats agreed that significant regulations of Dodd-Frank were negatively impacting local economics across the nation and joined Republicans in drafting this proposal.
Three key bills sponsored by Senator Perdue are included in this agreement: the Reciprocal Deposits Bill, the Portfolio Lending and Mortgage Access Act, and the PROTECT Act, which simplifies the credit freezing process. View the proposal’s text here and a summary here.
Highlights of the bipartisan package include:
- Improves consumer access to mortgage credit;
- Provides regulatory relief for small financial institutions and protects consumer access to credit;
- Provides specific protections for veterans, consumers and homeowners; and
- Tailors regulations for banks to better reflect their business models.