Bankers Frustrated by Dodd-Frank Act

by Paul Gatling  on Monday, May. 7, 2012 12:00 am  

Holmes noted a piece of recent legislation that indicates the pendulum has swung toward reducing the strains of Dodd-Frank. A "fair exams" bill in the U.S. House of Representatives would provide "more transparent, timely and fair examinations" by reducing the disconnect between exams and their regulating agencies.

A sister bill will also be considered by the U.S. Senate, Holmes said.

"That'll help cut some of this," he said. "When you start getting the help from the regulators and legislators, that's when you'll start to see everything gel a little bit."
Still, Holmes offered a somewhat ominous forecast for community banks in Arkansas.

"Right now, you're going to see that $137 million [asset] bank have to partner, probably in the form of a merger, to where two or three of them can afford to have that compliance officer. And that's what we see happening.

"And when you consolidate [banks] in small towns, small towns go away."

 

 

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