Rodge Cohen Discusses the Current State of Banking Regulatory Models and Future Implications with American Banker

March 17, 2023

Rodge Cohen joined the Editor-in-Chief of American Banker, Chana Schoenberger, to discuss “What's next in banking regulation?” In the interview, he discussed the regulators' response to recent events in the financial services industry and what they mean for current and future banking regulation models, while also examining the importance of the consolidation of regional banks and the outlook for crypto regulation.
Rodge went on to discuss the Consumer Financial Protection Bureau's proposed changes that would reduce credit card late fees from $31 to $8 in order to expand credit card access to underserved communities. Because a large portion of revenue comes from these fees, banks may have to find other ways of increasing revenue—such as raising interest rates—which Rodge notes, may be at odds with the proposal's goal.
“It's got to be a balance because you can see where the two goals are antithetical with one another,” Rodge says. “But I think there fortunately is enough room that you can serve those who are not the highest earners, the wealthiest, and still preserve a franchise which will earn a necessary return on capital.”

Watch the interview, “What's next in banking regulation?”