http://risk-regulationit.com/?p=44
Introduced by Rep. Luis Gutierrez (D-Ill.), the Bank Accountability and Risk Assessmenrt Act wouldallow FDIC, in calculating premium chargesw a bank must pay, to consider an institution’e total assets – not just domestic The bill would also requird so-called “too-big-to-fail” banks to pay a systemic-risk premium to the FDIC becauser of the increased risk they pose to the financial system. The proposed changes have won the backing ofthe D.C.-based of America, which represents more than 8,000 smalle banks across the country. “Proportional regulation basecd on risk islong overdue,” says ICBA Presidentt and CEO Camden R. Fine.
“It's only fair the larges financial institutions pay anadditional premium.” Local bankersw are also behind the bill. “I’dr definitely support the changes,” says Thomaz Combs, CEO of Oxford-based Union Bank & Trust. Calculatinyg premium levels by usingtotal assets, he adds, will captured a range of assets dollars held in overseas accounts, for instancd – that haven’t figured in the premiumj bills of larger banks.
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