CSBS Chairman and Commissioner of the Texas Department of Banking Charles Cooper writes in an op-ed for The Hill:
“Throughout my career regulating the financial services industry, I have learned the benefit of taking measured regulatory action, including fully understanding the risks and implications of developments in financial services before putting into place a new rule or regulatory approach.
“This principle of informed regulation is being ignored by the Office of the Comptroller of the Currency (OCC). The agency is getting ready to act outside its mandate by seeking to create a new national bank charter for non-banks. Think about it — a bank charter for nonbank companies.
“The OCC is heading down a dangerous path and taking the financial system with it. By inventing its own rules rather than implementing the law, the OCC is pushing a highly disruptive agenda:
- Awarding federal charters with little transparency on the decision-making process and without acknowledging the impact on competitive marketplace
- Tossing aside the traditional means to ensure the safety and soundness of the financial system
- Regulating industries it has never regulated before.
Read the full article here.