NAFCU witness: Regulation has gone ‘way too far’
On Thursday, Dixies Federal Credit Union President and CEO Scott Eagerton testified on behalf of NAFCU before a House Small Business Subcommittee hearing on the impact of the Dodd-Frank Act on small businesses and financial institutions. He argued the regulation “pendulum” had “swung way too far” and that it is hampering credit union member service.
Eagerton, whose credit union is headquartered in Darlington, S.C., testified before the House Small Business Subcommittee on Economic Growth, Tax and Capital Access, which is chaired by Rep. Tom Rice, R-S.C.
In response to a question from Rep. David Brat, R-Va., Eagerton said, “I really feel like we’re getting away from helping people … and that needs to change.” Brat likened Eagerton and a witness representing community banks to “data points” and argued that their experience proves the detrimental effect of overregulation.
Eagerton also agreed with subcommittee Chairman Tom Rice, R-S.C., that the result of his staff spending more time and resources on regulatory compliance is that they have less to offer in the way of products and services, which he agreed is something that disproportionately impacts middle-class and minority borrowers.continue reading »