Justice Department to review bank merger rules

Department of Justice

The Justice Department on Friday announced it is accepting public comment on whether federal policy governing bank mergers should be updated.

Credit union mergers and credit union-bank mergers are not included in the request for information. However, the DoJ is asking whether regulators “give appropriate weight to credit unions and thrifts” in evaluating whether there is sufficient competition to allow a bank merger to go forward.

The DoJ announcement follows an attempt by Consumer Financial Protection Bureau Director Rohit Chopra to convince the Federal Deposit Insurance Corporation board to solicit comments on merger rules. FDIC Chairwoman Jelena McWilliams, who controls the FDIC agenda, last week refused to authorize the agency to request comment on the rules.

So, the DoJ has taken over.


continue reading »