The Trump administration is reportedly considering consolidating bank regulators by merging the Federal Deposit Insurance Corporation (FDIC) and the Office of the Comptroller of the Currency (OCC), according to reporting from the Wall Street Journal, and circumventing Congress' approval.
Former FDIC chair Bill Isaac joins Catalysts Host Madison Mills to discuss his view on Trump's reported efforts.
"I hope that what's been rumored is not going to come to pass. I think it would be a serious mistake to decide to get rid of the FDIC or the merging into another agency," Isaac says. This comes as Elon Musk's Department of Government Efficiency (DOGE) faces lawmaker backlash over its efforts to shut down the Consumer Financial Protection Bureau (CFPB).
The former FDIC head adds that "some consolidation could be called for here, and I wouldn't be opposed to it, but I do think that the FDIC has a very important role as an independent agency responsible for handling bank failures in a very effective and efficient way."
Related Videos
To watch more expert insights and analysis on the latest market action, check out more Catalysts here.
This post was written by Naomi Buchanan.