Too big to fail is not a new phenomenon; however, in recent months it has begun to pick up steam and momentum. There are countless news stories from major United States and international publications condoning the behavior of megabanks and too-big-to-fail financial institutions. Economists from around the world have opinions on whether or not to break up too-big-to-fail groups and once and for all end too-big-to-fail.
If you are a member of the media who would like to speak with a community bank expert for a too-big-to-fail story, please reach out to Aleis Stokes at 202-821-4457.
2013 Press Releases
ICBA Strongly Supports Proposed Supplementary Leverage Ratio Capital Standards for Largest Megabanks
The Independent Community Bankers of America® (ICBA) said it strongly supports regulators’ proposed rule to implement enhanced supplementary leverage ratio capital standards on the largest and riskiest financial institutions. The proposal would significantly increase capital requirements on the too-big-to-fail financial institutions that pose the greatest risks to our financial system.
ICBA: Greatest Threat to Financial System is Too-Big-To-Fail
The Independent Community Bankers of America® (ICBA) today told Congress that the greatest ongoing threat to the safety and soundness of the U.S. financial system is the dominance of a small number of too-big-to-fail megabanks. In a statement for today’s House Financial Services Committee hearing on taxpayer-funded bailouts, ICBA wrote that a more diverse financial system would reduce risk and promote competition, innovation and the availability of credit to consumers and businesses.
ICBA Releases Report on Why Too-Big-To-Fail Must End
The Independent Community Bankers of America® (ICBA) today released “End Too-Big-To-Fail,” a report that examines the impact of too-big-to-fail financial institutions on the U.S. economy and why too-big-to-fail must be brought to an end now. In the report, ICBA also highlights the Terminating Bailouts for Taxpayer Fairness Act of 2013 (TBTF Act, S. 798), introduced by Sens. Sherrod Brown (D-Ohio) and David Vitter (R-La.), as a valid solution to curb the too-big-to-fail epidemic.
ICBA Lauds Brown-Vitter Legislation Taking on Too-Big-To-Fail
The Independent Community Bankers of America® (ICBA) today expressed its support for new legislation introduced by Sens. Sherrod Brown (D-Ohio) and David Vitter (R-La.) that would help eliminate the threats posed by too-big-to-fail financial institutions.
ICBA: Survey Shows Americans Want Washington to Address Too-Big-To-Fail Problem
Independent Community Bankers of America® (ICBA) Chairman Bill Loving, president and CEO of Pendleton Community Bank in Franklin, W.Va., released this statement following the release of a Rasmussen Reports survey that found that half of all U.S. adults favor breaking up the nation’s largest banks. According to the survey, 50 percent of U.S. adults said they favor a plan to break up the 12 largest megabanks, which control 69 percent of the banking industry.
ICBA: Evidence Mounting against Too-Big-To-Fail
The Independent Community Bankers of America® (ICBA) said that there is mounting evidence that too-big-to-fail financial institutions pose risks to the financial system, enjoy a taxpayer-funded funding advantage over smaller institutions and receive favorable treatment from regulators. To address these and other problems posed by the largest and riskiest financial firms, ICBA believes they should be downsized and split up.
ICBA: Senate Report Shows Continued Threat of Too-Big-To Fail
Bill Loving, chairman of the Independent Community Bankers of America® (ICBA) and president and CEO of Pendleton Community Bank in Franklin, W.Va., and Camden R. Fine, president and CEO of ICBA, issued this statement following the Senate Permanent Subcommittee on Investigations report that JPMorgan Chase used federally insured deposits for high-risk trades that resulted in hundreds of millions of dollars in losses it hid from regulators and taxpayers.
The greatest threat to the safety and soundness of our financial system today is the ongoing and increasing dominance of too-big-to-fail institutions. Today, the four largest banking companies control more than 40 percent of the nation’s deposits and more than 50 percent of the assets held by U.S. banks. The largest banks have grown larger since the financial crisis of 2008