U.S. Rep. Blaine Luetkemeyer (MO-03) issued the following release upon conclusion of the Financial Institution and Consumer Credit Subcommittee hearing entitled “Ending the De Novo Drought: Examining the Application Process for De Novo Financial Institutions.”

“Today, we took the first step at looking into why there are so few new banks and the barriers to entry for would-be community financial institutions,” Luetkemeyer said. “The historical data paints a very clear picture of what has happened since the passage of Dodd-Frank. From 2010 to 2016, there were only a handful of new bank and credit union charters granted. In comparison, more than 1,300 new banks and 75 credit unions were chartered between 2000 and 2008. However, with the new administration and economic outlook, both financial institutions and consumers are more optimistic than they have been in many years. We’ve heard of more de novo bank applications in the last few weeks than we saw new banks in the last several years of the Obama Administration. New financial institutions are a direct benefit to consumers and communities across the nation. This hearing marks the beginning of this conversation. The subcommittee will spend the next two years pursuing initiatives that promote financial choice and accessibility for all Americans.”