"The Collins Amendment, in my view, will do more to strengthen the capital of the U.S. financial system than any other section of the Act," said FDIC Chairman Sheila C. Bair. "Large financial institutions need the capital strength to stand on their own without government assistance. The Collins Amendment appropriately ensures that large institutions operate with at least as much capital in proportionate terms as is required of thousands of Main Street banks nationwide."
FDIC Chairman Sheila C. Bair stated, "Given previous statutory limitations on the ability of the FDIC to build reserves in excess of 1.25%, our resources heading into the financial crisis were woefully inadequate. This new rule will allow us to better prepare for the future. It will also give the industry greater certainty around the premium structure.
Ken Tumin5,468 posts since Nov 29, 2009 Rep Points: 125,029