March 20th, 2010
10:01 AM ET
5 years ago

Bernanke: Fed should oversee all banks

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Fed Chairman Ben Bernanke reiterated on Saturday that the central bank should retain power over banks of all sizes. (Getty Images)

New York (CNNMoney.com) – As Congress considers limiting the Federal Reserve's regulatory authority to just the country's largest bank holding companies, Fed Chairman Ben Bernanke reiterated on Saturday that the central bank should retain power over banks of all sizes.

"Because of the remarkable diversity of the U.S. financial system, a supervisory agency that focused only on the largest banking institutions, without knowledge of community banks, would get a limited and potentially distorted picture of what was happening in our banking system as a whole," Bernanke said in a speech to the Independent Community Bankers of America.

The talk echoed points Bernanke has made in several previous speeches, when he has argued that the supervision of small banks helps the Federal Reserve monitor the pulse of the "continent-spanning, highly varied" economy.

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Filed under: Ben Bernanke • Federal Reserve
soundoff (20 Responses)
  1. NC

    Socialist......Crook......Vote for a Republican in 2010 and 2012......the Republicans can and will get our America back from the current socialist liberal marxist crook(s).......

    March 20, 2010 11:33 am at 11:33 am |
  2. Jon

    Why is the Obama administration's unstated yet obvious goal to federalize everything that effects daily life. Banks, insurance companys, automakers, schools, health care. Quite frankly, I trust my own decisions a hell of a lot more then I do anyone's in the socialist administration of Mr. Obama. These are the same clowns who can't remember to pay their income taxes, testify honestly and completely during their confirmation hearings and routinely spout lies during so-called press conferences. Thank God only 3 more years before Obama joins Carter as the worst experiments in American Democracy. Democrats, you can look that term up in a dictionary.

    March 20, 2010 11:42 am at 11:42 am |
  3. Former Republican, now an Independent

    Most Americans don't remember who started the de-regulation of banks and Wall Street institutions. It was President Reagan misguided by a senator named Phil Gramm, who was John McCain's economic advisor as well. The U.S. had better regulate this industry, or the American people will suffer at the hands of these ruthless crooks.

    March 20, 2010 11:42 am at 11:42 am |
  4. dave denver

    The Obama plan continues – GOVERNMENT CONTROL OF EVERYTHING – WAKE UP AMERICA

    March 20, 2010 11:57 am at 11:57 am |
  5. Paul H

    The Fed needs overhauled. What about that bill.

    March 20, 2010 12:01 pm at 12:01 pm |
  6. Jeff in Houston

    Cool idea Mr. Bernanke. Alwasy good to try something new. Any plans on when you might START?

    March 20, 2010 12:09 pm at 12:09 pm |
  7. Henry Miller, Libertarian, Cary, NC

    I guess it makes sense Bernanke feels that way: We have a socialist would-be tyrant in the White House so, from his perspective, it's only reasonable we ave planned-economy dictator at the Fed.

    March 20, 2010 12:09 pm at 12:09 pm |
  8. Rick McDaniel

    Banks have become so corrupt, that more than one federal watchdog needs to exist. It is too easy to corrupt the watchdog, if there is only one.

    March 20, 2010 12:22 pm at 12:22 pm |
  9. Willy Brown

    Thank god for November and elections and 2012 then we can get rid of this communist pig

    March 20, 2010 12:37 pm at 12:37 pm |
  10. Charlie in New Mexico

    Given the obivious failures of the Fed, the SEC, and other financial regulatory agencies in the recent past, why should anyone expect any improvement in their future performance ???? Indeed, anyone with any intelligence at all can expect nothing except more corruption and complete failure to protect the average citizen. (The latter being their primary reason for existance.......)

    March 20, 2010 12:44 pm at 12:44 pm |
  11. Mike

    Render obama the things that are obama's.

    March 20, 2010 12:47 pm at 12:47 pm |
  12. Justin

    That makes no sense whatsoever with all the Wall Streeters that make up the Fed. Rest assured though, that's exactly what will happen because Wall Street owns Congress, plain and simple.

    March 20, 2010 12:49 pm at 12:49 pm |
  13. The Lonely Libertarian of Liverpool NY

    End the FED! This private bank. A bank that is not under the governemnt's control and has never been audited since it was founded in 1913 is the biggest reason for the loss of liberty here in America.
    This bank was supoose to prevent inflation, end recessions and give stability to the US economy has not met any of these purposes. This bank has secrets that the America people should know, who do they owe, how much and who owes them and how much?

    March 20, 2010 12:49 pm at 12:49 pm |
  14. Preston kathy

    If the feds over see all the banks you will only have a few big banks left oh god more serivce charges i will put my money in a pillow case

    March 20, 2010 01:10 pm at 1:10 pm |
  15. Claudia, Houston, Tx

    If this had been done, John McCain's son would not been able to take his bonus one month before the colapse of Silver Bank of Arizona repeating what his old daddy did as one of the Keating 5.

    March 20, 2010 01:11 pm at 1:11 pm |
  16. annie against biased news

    Federal reserve should be audited! Their control over our banks should be very limited if any. Why are all these banks being closed and george soros getting them? That is the question bernanke should be asking!

    March 20, 2010 02:13 pm at 2:13 pm |
  17. Obamalism

    HAHAHA.... I'd rather have ACORN in charge of my checking account.

    March 20, 2010 02:31 pm at 2:31 pm |
  18. Adam CT

    The Fed already had this power, under YOU Ben Bernanke. You were one of the captains of the Titanic. You don't have any credibility about what we should do with our banking system outside of Washington. The fact that you were renominated and reconfirmed is just another knife in the back from our politicians.

    March 20, 2010 02:46 pm at 2:46 pm |
  19. MJ

    Why not? The White House is taking over everything else! Wake Up America!!!! These idiots are trying to control every aspect of our lives!

    March 20, 2010 02:59 pm at 2:59 pm |
  20. Dockwobbler

    AUDIT AND END THE FED…the Fed is a private corporation with elements of foreign ownership and not a constitutional government body. Put Congress back in charge of the money supply as our nation’s founders intended in the Constitution.

    March 20, 2010 03:03 pm at 3:03 pm |