On the recordDecember 2, 2014
As technology advances, we need to make sure Federal regulations keep pace. Former Federal Reserve Chairman Bernanke has said that account ``reserve balances far exceed the level of reserve requirements, and the level of reserve requirements thus plays only a minor role in the daily implementation of monetary policy.'' We can continue to protect the financial system while allowing families more flexibility to use online banking tools. This legislation has strong bipartisan support, and I would like to thank my colleague from New York, Congresswoman Maloney, who serves on the Financial Services Committee, for joining me in introducing H.R. 3240. A GAO study will allow an objective assessment of whether the rarely changed monetary reserves imposed on depository institutions and consumers are necessary in order for the Federal Reserve to implement monetary policy in the 21st century.
