What the Candidates Think  

Obama: President Obama supports the regulation of banks. In 2010, he signed the Dodd-Frank Wall Street Reform and Consumer Protection Act, which was designed to end bailouts of the banking system and curtail risky investments. It also implemented clearer terms for credit cards, mortgages, and student loans.

Upon passing the law, President Obama expressed his belief that everyone should be held accountable to the same rules, saying, “This reform will help foster innovation, not hamper it.  It is designed to make sure that everybody follows the same set of rules, so that firms compete on price and quality, not on tricks and not on traps.”

Romney: Governor Romney believes the President Obama has established too many regulations on the American economy. According to his website, Romney plans to “swiftly to tear down the vast edifice of regulations the Obama administration has imposed on the economy.” This plan includes the repeal of the Dodd-Frank Act, which Romney would replace with a “streamlined, modern regulatory framework.”

However, Romney does support some measures of bank regulation. Romney argues, “Greater transparency for inter-bank relationships, enhanced capital requirements, and provisions to address new forms of complex financial transactions are all necessary elements of effective financial reform. But these concepts must be translated into law in a way that creates a simple, predictable, and efficient regulatory system appropriate for our dynamic economy.”

After the Dodd Frank Act passed, 61% of Americans supported Wall Street and Banking Reform. (Gallup, September 2010)

Think More About It

Federal Reserve Index of Banking Regulations

White House Summary of Wall Street Reforms

View a report on American financial institutions