The news got crazier this week, but there’s a piece that’s dangerous, but eye-glazing, —easy to miss in the midst of a porn star’s lawsuit against our President, followed by the House Intelligence Committee’s Republicans issuing an all-clear on Trumpish collusion with Russia https://www.cnn.com/2018/03/12/politics/house-republicans-russia-conclusions/index.html.
It feels like some horrible Trump reality show. You're fired, Rex, for faulting Russian government. But now for an important commercial: Pay attention to Pocahontas!
That’s Trump’s nickname for the smartest Senator on the Senate Banking Committee, Elizabeth Warren from Massachusetts (originally from Oklahoma, where her family lore claimed native blood when that was a racial slur). Warren’s books are an important source in Screwnomics. She tracked bankruptcies back in the 90s and found medical costs the top cause for rising rates. She next headed a commission overseeing TARP bank bailout program, and seeing Wall Street’s bamboozles, proposed the Consumer Protection Agency. Elected the first female Senator from Massachusetts in 2012, she and her money-saving agency have been under attack ever since.
Now she’s sounding a new warning. After the 2008 meltdown, Congress passed a banking reform bill called Dodd-Frank, and ever since Wall Street has tried to undo it. The devil’s in the details. Many of the bill’s measures, designed to regulate Wall Street’s mega banks, were hard for small banks, and resulted in bank mergers. What we need is a healthy network of local, small banks. But in a legislative effort to lessen the regulatory load on these smaller banks and credit unions, Wall Street’s bullies have laid claim to the same regulation break.
Isn’t that fair? No, all things are not equal, says Warren. S.2155 is called The Economic Growth, Regulatory Relief and Consumer Protection Act,” and is supported by 50 Republicans and 16 Democrats. What would it do? https://www.cnn.com/2018/03/05/opinions/mitch-mcconnell-bank-lobbyist-act-opinion-taub/index.html. Dodd-Frank required all bank holding companies with more than $50 billion be supervised by the Federal Reserve. What Warren has renamed as The Bank Lobbyist Act raises that threshold to $250 billion, increasing risk five-fold.
It would weaken stress tests for 25 of the 38 biggest banks in the country, megabanks like Wells Fargo, Bank of America, JPMorgan Chase and Citigroup. Ten years ago these same billionaire banks got billions in taxpayer dollars, after they collapsed the economy. So now they get an anniversary present??! Warren’s right to rename it. Tell your Senator you want an amendment. Yes, help community banks, but small is less risky. Wall Street’s bigness, which always puts them first in line for government welfare, crushes the communities we live in. http://thehill.com/homenews/senate/377534-warren-rankles-colleagues-in-bank-fight.