Reps. García, Jayapal and Colleagues Urge the DOJ to Toughen Standards for Bank Mergers
Chicago, IL — Today Representatives Jesús “Chuy” García (IL-04), Pramila Jayapal (WA-07), and 9 other Members of Congress sent a letter to the Department of Justice (DOJ) urging the agency to strengthen its bank merger review guidelines. The DOJ is currently accepting public comments on its guidelines, which were developed more than twenty years ago.
“The DOJ urgently needs to update its bank merger review guidelines, and the agency’s oversight has to be strengthened-- not weakened. The current guidelines hurt working class families by allowing mergers that give a few banks more power and leave consumers with fewer options. These mergers are particularly harmful for small businesses and communities of color that have always suffered from less access to credit,” said Congressman Jesús “Chuy” García. “As our economy changes, the DOJ’s bank merger guidance must change as well to protect ordinary consumers instead of ensuring profits for big banks.”
"The DOJ must protect consumers and our communities by strengthening their bank merger guidelines rather than diluting them while bowing to the demands of the wealthy and well-connected who dangerously want these important safeguards rolled back," said Congresswoman Jayapal. "As the Department considers updating these bank merger guidelines, it must consider additional factors including whether the mergers will increase income inequality, lead to more community members becoming unbanked, harm consumer privacy and decrease financial stability for individuals, families and the American economy at large."
A copy of the letter can be found here.