Congress enacted the Glass-Steagall Small Banking Act in 1933. It’s time to bring it back.
“Glass-Steagall was serving our country and our banking system well when Congress repealed it in 1999,” said Congresswoman Kaptur, who has sponsored legislation to reinstate the landmark legislation. "Just look what happened several years later--a meltdown of the financial system."
Kaptur stressed that the protections in Glass-Steagall are meant for individuals, families and communities. The biggest banks are more interested in speculation to drive their short-term profits than following prudent banking practices that work for everybody.
We know. We’re still climbing out of the crater that Wall Street created leading up to the national financial crisis in 2008.
Congresswoman Kaptur’s legislation, the Return to Prudent Banking Act of 2013 (H.R. 129) would rebuild the wall between commercial and investment banking activities.
Wall Street opposed these reforms in the 1930s and Wall Street is opposing reform just as vigorously today. They are busy as we speak, trying to gut the Dodd-Frank regulations.
But America desperately needs to restore a secure, dependable, and prudent banking system so we can get on with the job of job creation and protect the American people.
A recent report by Public Citizen, “Safety Glass,” documents widespread support among experts for a return to prudent and responsible banking practices.
Kaptur’s bipartisan bill, H.R. 129, currently has 66 co-sponsors.