On April 26, 2017 Representative Hensarling’s Financial Services Committee published the Financial CHOICE Act, HR 10. According to the Executive summary the bill will:

  • End “Too Big to Fail” and Bank Bailouts
  • Demand Wall Street Accountability through enhanced penalties for fraud and deception
  • Demand accountability from financial regulators and devolve power away from Washington
  • Provide for election to be a strongly capitalized, well managed financial institution
  • Unleash opportunities for small businesses, innovators, and job creators by facilitating capital formation.
  • Provide regulatory relief for Main Street and community financial institutions.
  • Empower Americans to achieve financial independence by fundamentally reforming the CFPB and protecting investors and retirement savings.

A lot will change as the bill moves through the Committee, to the floor and then on to the Senate. The bill promises regulatory relief for Main Street and community financial institutions. That probably means that large banks will continue to comply with the TRID and HMDA rules that will be fully implemented by the time the Financial Choice Act is completed. Community banks will have to deal with changes as fully implemented rules are rolled back to something easier. As usual, Congress fails to understand that change, even when sold as regulatory reduction, creates work, burden and pain for community banks.
One hopes the committee will be as creative when drafting the bill as they were when naming the bill. CHOICE stands for Creating Hope and Opportunity for Investors, Consumers and Entrepreneurs. I prefer Financial CHOICCE – Congress Has the Opportunity to Insist that Constant Changes End; or CHOIEC – Creating Hope and Opportunity for Increased Income for Every Consultant.
Information about Financial CHOICE is available at
We will provide details as the bill moves through Congress.