WASHINGTON – A Senate panel has approved legislation that would provide banks and credit unions with relief from some of the stricter regulatory requirements approved after the 2008 financial crisis.
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The bill was approved Tuesday by a vote of 16-7 and raises the threshold from $50 billion to $250 billion at which bank holding companies are considered too big to fail. That designation subjects them to financial stress tests and a capital-planning review.
The panel rejected numerous amendments that senators said could unravel an agreement crafted over several months.
Supporters from both major parties say the legislation would make it easier for credit unions, community banks and many regional, midsized banks to lend money and boost economic growth.
Every Republican on the panel voted for the measure, along with four Democratic senators.
