Will Trump undo the damage Obama did to small banks?
The Dodd–Frank Wall Street Reform and Consumer Protection Act signed into United States federal law by President Barack Obama on July 21, 2010, has made survival harder for small banks while their big-business counterparts have enjoyed quarter after quarter of record-breaking results.
“Smaller banks will benefit the most from a rollback in regulations,” Vertical Group research and bank analyst Dick Bove told Fox Business’ Maria Bartiromo on “Mornings with Maria.”
Bove, a sell-professed Dodd-Frank “hater” told Bartiromo that in 2013, 2015, 2016 and 2017 the big banks had record earnings, and that society has not lacked funding, adding that he is “not sure Dodd-Frank did the horrendous things” he thought it would do.
As the Senate works to roll back parts of Dodd-Frank, the big banks don’t really need much help, but the community banks will benefit from this reform as smaller banks can’t afford the cost of these regulations, simply because they are not capable of having the scale of the big banks.