SB 109-07: Andrew Jackson Memorial Bank-Killing Act (Veto Overridden)

[Mr. Reactionary]

With respect to S019 it's not as if the economy wouldn't realistically be bleeding out of several orifices at the point where this bill begins inconveniencing the Federal Reserve. Their current powers wouldn't do much if that actually were to happen.

That doesn’t not make it a dumb bill. Creditors have every right to charge high interest on risky loans, since those loans may not be repaid. This is just finding a solution to a non-existent problem. Quite disingenuous to see this from the party that claims to support small government and free enterprise, what happened to conservative values?

This is a RevCom bill.

[Mr. Reactionary]

I am leaning against this bill.

This is a Regional rights bill. This merely restores to the regions decisions over usury laws. No one region is required to do anything.

[Mr. Reactionary]

I am leaning against this bill.

This is a Regional rights bill. This merely restores to the regions decisions over usury laws. No one region is required to do anything.

The regions should not have control over monetary policy.

The Regions undeniably have control over intrastate bank interest rates and credit union interest rates. It seems shady to give big banks carte blanche to ignore regional usury laws when small banks and credit unions must obey the same laws. It effectively creates a special privilege for big banks to jack up rates on consumers. Keep in mind this privilege didnt even exist until like the 1980s so its not as though infinite bank interest rates are that historically important to federal law. I still contend that this bill is a fair way to keep the rich, monied class from exploiting consumers through loan shark tactics that undermine Regional usury laws which have existed in some form since the colonial era. Now the South has technically already nullified the federal law we are seeking to amend and are enforcing through a 75% tax on noncompliant big banks but a clear amendment to the federal law is a cleaner fix. This amendment does not affect the Federal Reserve power over interest rates for deposits, the federal funds rate, or fractional reserve margins so its not as though this eliminates the Fed or deprives it if monetary tools. This merely allows Regions to cap interest rates from big banks within the Region. Im hesistant to agree with any claim that a big bank has a "right" to charge loan shark rates, rather this is a special privilege big banks obtained through lobbying. I care more for the consumer.

[Mr. Reactionary]

So heres from the CRS report referenced above

To protect consumers, many states have adopted usury laws capping the interest rates that lenders can
charge borrowers. There is significant variation among state interest-rate limits: some states have adopted
strict usury laws, some have enacted more permissive rules, and others have eliminated usury laws
altogether. But federal preemption of state law has diminished the relevance of these differences when it
comes to bank lending. Section 85 of the National Bank Act (NBA) allows federally chartered banks to
“export” the maximum interest rates of their “home” states, meaning they can charge those rates when
lending to borrowers in other states with stricter usury laws. Accordingly, a national bank headquartered
in South Dakota—which has no interest-rate limits—need not abide by New York usury law when it lends
to New York borrowers. Predictably, this regime has made more permissive states attractive destinations
for banks’ credit-card operations. And these shifts have reduced the sway of states that favor stricter limits
on high-cost lending.

Federally chartered banks can be found listed here:

https://www.occ.treas.gov/topics/charters-and-licensing/financial-institution-lists/index-financial-institution-lists.html

There are hundreds of them. A federal charter just means u lend across state lines.

[Mr. Reactionary]

I move for a final vote

[Mr. Reactionary]

Aye

[Mr. Reactionary]

Get rekt banksters.

[Mr. Reactionary]

Aye

[Mr. Reactionary]

Get rekt banksters.