Notes from the CEO
No One-Size Solution
On May 15 of this year, I testified in front of the California Legislature on behalf of the California Independent Bankers regarding the proposed “Homeowners Bill of Rights.” The special panel of lawmakers in front of which I spoke have been tasked with crafting new mortgage and foreclosure laws. As a group, the bankers in the room carried the message that the industry is open to reform but the new legislation may overload banks with lawsuits and another layer of new regulations. See video of my testimony below:
The experience was was unique for me as the sole community banker in the room. As proposed, this legislation would apply to all banks regardless of size. That will place an even greater burden on community banks as we are not equiped with the lawyers and large compliance departments of the majors.
The regulatory system must be bifurcated. What works for the megas simply will not work for community banks.
James E. Beckwith
President & CEO Five Star Bank