A Report on Bank Regulation in the USA

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Bank Regulation in the USA: Similar to other countries across the globe, banks are important aspects of the financial system and sector in the United States. This is largely because they contribute to the growth and development of the country's economy as they contribute to the payment mechanism and credit system throughout the nation. As a result of the contribution they make to the economic growth and development of the United States, banks are among the most regulated firms in the country. Given that the United States began as a confederation of constituent states, the regulation of banks in the country developed in a unique manner. This has led to the dual regulatory system for banks in states and federal government charters. The regulatory system has enabled banks to continue with their unique and central role in America's financial markets by carrying out deposit-taking, lending, and other activities. The importance of banks in the U.S. financial system has resulted in the fact that regulation and supervision by the government extends to many banking aspects. While the current banking laws and supervision has been developed by several stakeholders, the regulatory system has mainly responsible to various needs and serves as a critical part in setting up the standards and guidelines with which banking services are provided (Spong, 2000). There are various reasons that are regarded as the importance of the bank regulation in the United States. Some of these
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