NAIB Statement Following Tenth Circuit Hearing on Landmark Interstate Banking Case
Frank Pignanelli, Executive Director of the National Association of Industrial Bankers (NAIB), issued the following statement regarding the U.S. Court of Appeals for the Tenth Circuit en banc hearing in National Association of Industrial Bankers; American Financial Services Association; American Fintech Council v. Weiser, et al.
“The National Association of Industrial Bankers (NAIB) appreciates the opportunity to make our arguments today before the full Tenth Circuit Court of Appeals. We believe the arguments for preserving the longstanding federal framework governing interstate banking are compelling, and we are confident the Court will give them due consideration.”
“At its core, this case is about whether consumers will continue to benefit from a competitive national market for credit which exists only because, under federal law – the Depository Institutions Deregulation and Monetary Control Act of 1980 (DIDMCA) – these bank lenders can offer credit on a national scale on a level playing field with the big national banks.”
“Otherwise, that national system will be replaced by a patchwork of different state lending requirements that raises costs, restricts credit, and accelerates consolidation.”
“The stakes for consumers and the banking system are significant. For more than 45 years, DIDMCA has allowed state-chartered banks to lend across state lines under consistent federal rules, promoting competition, consumer choice, and access to responsible credit.”
For more information on interstate banking rules under the Depository Institutions Deregulation and Monetary Control Act of 1980 (DIDMCA), visit www.industrialbankers.org/didmca.