Banking Under Changing Rules: The Fifth District Since 1970

The 1980s have seen a call for at least partial deregulation of banking. The 5th District provides a case study of how banking laws and regulations have evolved since 1970. In much of the 5th district in 1970, banks could branch without restriction within their states, subject only to approval by th...

Full description

Saved in:
Bibliographic Details
Published in:Economic quarterly - Federal Reserve Bank of Richmond 1989-03, Vol.75 (2), p.3
Main Author: Mengle, David L
Format: Article
Language:English
Subjects:
Bank failures
Bank holding companies
Bank Holding Company Act
Banking History
Banking industry
Banks
Branch banking
Commercial banks
Deregulation
Douglas Amendment
Interstate banking
Interstate Banking & Branching Efficiency Act 1994-US
Legislation
Mcfadden Act
New Banks
Regional banks
Regulation
Regulation Q
Thrift Failures
Trends
Us Congress
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:The 1980s have seen a call for at least partial deregulation of banking. The 5th District provides a case study of how banking laws and regulations have evolved since 1970. In much of the 5th district in 1970, banks could branch without restriction within their states, subject only to approval by their regulators. Another aspect of the 1970 legal environment was the impetus to growth of bank holding companies, even in states permitting statewide branching. The years following 1970 were a period of rapid growth for 5th district banking. While the number of banks did not necessarily increase in all states, the number of branches did. Banking services, therefore, became more widely available. Now that branching within states has been liberalized in all 5th District jurisdictions, the major field for future evolution of the law is in interstate banking. Nationwide interstate banking, interstate branching, and de novo entry are the last areas in which the law blocks competition among banks.
ISSN:1069-7225
2163-4556