There are numerous agencies assigned to regulate and oversee financial institutions and financial markets𒉰 in the United St൩ates, including the Federal Reserve Board (FRB), the Federal Deposit Insurance Corp. (FDIC), and the Securities and Exchange Commission (SEC).

Though the effectiveness with which these regulatory entities do their job is sometimes questioned, each was established to provide sensible regulation of markets and protection for investors and consume▨rs.

Who Regulates Banks?

Banks in the United States are regulated on either the federal or state level, depending on how they are chartered. Some are regulated by both. The federal💫 reguꦗlators are:

• The Office of the Comptroller of the Currency (OCC)
• The Federal Reserve System
• The FDIC

Here is a look at each of those agencies and their responsibilitie💞s:

Office of the Comptroller of the Currency

The 澳洲幸运5开奖号码历史查询:Office of the Comptroll𝔍er of the Currꩵency (OCC) is among the oldest of all the federal regulatory agencies, established in 1863 by the National Currency Act. Part of the Treasury Department, it regulates national banks, federal savings associations, and the operating subsidiaries of national banks and federal savings associations.

Federal Reserve System

Probably the best-known of all the banking regulatory agencies in the U.S. is the 澳洲幸运5开奖号码历史查询:Federal Reserve System, commonly referred to as the Fed. The Federal Reserve is the 澳洲幸运5开奖号码历史查询:central bank of the United States, responsible for regulating the financial system and managing monetary policy. Its primary monetary policy tool is 澳洲幸运5开奖号码历史查询:open market operations that control the buying and selling of U.S. Treasury and federal agency securities. Such purchases and sales determine the 澳洲幸运5开奖号码历史查询:federal funds rate and, in🍰 turn, affect interest rates throughout the economy.𒉰 It also oversees much of the banking system.

Bank holding companies constitute the largest segment of institutions supervised by the Federal Reserve, but the Fed also supervises state member banks, savings and loan holding companies, foreign banks operating in the United States, and other entities such as some regional banks (which may also fall under the purview of the FDIC and state regulators). Nationally chartered banks must be members of the Fed, although they are supervised by the OCC.

Because it has authority over bank holding companies, it is responsible for regulating many of the nation’s largest banks.

Federal Deposit Insurance Corp.

The Federal Deposit Insurance Corp. (FDIC) is a U.S. government corporation created by the Banking Act of 1933 (the 澳洲幸运5开奖号码历史查询:Glass-Steagall Act) in the wake of the widespread bank failures during the 澳洲幸运5开奖号码历史查询:Great Depression. It provides deposit insurance that guarantees d🃏epositor accounts up to certain limits at its mem♏ber banks.

The FDIC also supervises state-chartered and regional banks that are not members of the Fed.

Who Regulates Credit Unions?

As with banks, credit unions in the United States can be reꦆgulated on t🧔he federal or state level, depending on how they are chartered.

Federal credit unions are chartered and regulated by the National Credit Union Administration (NCUA), an independent federal agency established in 1970. The NCUA also insures deposits at federal credit unions, much like the FDIC does for its member banks.

Stಞate-chartered cred🐟it unions are regulated by their respective states. Some also may be insured through the NCUA.

Who Regulates Savings and Loan Associations?

Savings and loan associations, also known as S&Ls or thrifts, at one time had their own federal regulator: the Office of Thrift Supervision (OTS). After the passage of the Dodd-Frank Wall Street Reform and Consu💫mer Protection Act in 2010, however, the OTS was dissolved and its regulatory responsibilities were divided up among the OCC (federal savings associations), the Fed (savings and loan holding companies), and the FDIC (state-chartered savings associations).

Who Regulates Mortgage Lenders?

Because mortgage lenders are primarily banks, credit unions, and savings and loans, they are regulated to a large extent by the relevant federal agency listed above. The 澳洲幸运5开奖号码历史查询:Consumer Financial Prot🥀ection Bureau (CFPB) has supervisory authority over nonbank mortgage originators and servicers, as well as over banks, thrifts, and credit unions with assets over $10 billion, and their affiliates, regarding their compliance with federal consumer financial laws.

Mortgage loan officers and mortgage broke🔜rs ✤are licensed by the states.

Who Regulates the Stock Market?

The principal regulator of the stock market in the U.S. is the 澳洲幸运5开奖号码历史查询:Securities and Exchange Commi🙈ssion (♚SEC), established in 1934 by the 澳洲幸运5开奖号码历史查询:Securities Exchange Act. It oversees the securities exchanges and securities firms as well as self-regulatory organizations such as the 澳洲幸运5开奖号码历史查询:Financial I⛄ndustry Regulatory Authority (FINRA). It describes its mission as “protecting investors, maintaining fair, orderly, and efficient markets, and facilitating capital formation.”

The SEC also oversees the 澳洲幸运5开🔯奖号码历史查询:Securities Investor Protection Corp.𝓡 (SIPC), a private, nonprofit corporation that insures the securities and cash in the customer accounts of member brokerage firms if those firms fail (but not against other losses).

Most types of securities sold in the U.S. must be registered with the SEC, although there are certain exceptions, such as limited 澳洲幸运5开奖号码历史查询:private offerings and securities issued by municipal and state governments or the federal government. In general, 澳洲幸运5开奖号码历史查询:broker-dealer firms that buy and sell securities must be registered with the SEC and be members of FINRA. Individual brokers (also known as registered representatives) must be registered with FINRA and licensed by their state securities regulator.

Who Regulates the Insurance Industry?

The insurance industry in the U.S. is overseen primarily on the state level, and regulations can vary from state to state. To do business in a state, insurers must be licensed by that state’s insurance department. Insurance salespeople also must be licensed.

State insurance departments set a number of rules, including capital and surplus requirements, to make it more likely that insurers will be able to pay their policyholders’ claims. They also may have the authority to review and approve or reject propos🐽ed rate increases.

To protect policyholders against insurer 澳洲幸运5开奖号码历史查询:insolvencies, states also have 澳洲幸运5开奖号码历史查询:guaranty associations, which will cover claims up to certain limits.

In 2010, the Dodd-Frank Wall Street Reform and Consumer Protection Act established the 澳洲幸运5开奖号码历史查询:Federal Insurance Office (FIO), as part of the U.S. Treasury Department. The office has no regulatory authority but serves in an 澳洲幸运5开奖号码历史查询:advisory capacity to monitor the industry, particularly “the extent to which traditionally underserved communities and consumers have access to affordable non-health insurance products.”

The Bottom Line

Financial institutions, financial markets, and financial products in the United States are largely overseen by federal agencies and subject to federal l𒉰aws. The major exception is the insurance industry, which is regulated prim✨arily by the individual states.