Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994

(redirected from Riegle-Neal Act)

Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994

Law permitting interstate banking in the U.S.

Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994

Legislation in the United States repealing previous restrictions on banks from operating in more than one state. The Riegle-Neal Act allowed banks, under certain circumstances, to acquire banks or set up branches in other states without creating a separate subsidiary. The Act streamlined banking regulation in the United States, and, for the first time, allowed out-of-state residents to set up bank accounts. It also gave federal regulators the authority to ensure that out-of-state deposits do not dominate American banking.
References in periodicals archive ?
The recent enactment of the Riegle-Neal Act will likely spur more and larger interstate bank acquisitions and result in the first truly national depository institutions in the nation's history.
11) Accordingly, the Riegle-Neal Act does not prohibit this interstate branch acquisition.
Removing the barriers to intrastate and interstate branch banking finally came through a combination of demographic, technological, and market forces which culminated in the passage of the Riegle-Neal Act of 1994.
This acts as a test for compliance for the rules under section 109 of the 1994 Riegle-Neal Act.
And in the most obvious example of its involvement, the government put into practice its new vision of commercial banking by explicitly approving the consolidation of commercial banks through the Riegle-Neal Act and by expanding the banks' stock of permissible activities with the Gramm-Leach-Bliley Act.
Effective size caps on banks were imposed by the banking reforms of the 1930s, and there was an effort to maintain such restrictions in the Riegle-Neal Act of 1994.
The 1994 Riegle-Neal Act ushered forth a new era in banking deregulation.
In the post-1986 period, I would highlight the same two acts that Bob emphasized: the relaxation of most restrictions on interstate banking in the Riegle-Neal Act of 1994 and the repeal of the Glass-Steagall Act's restrictions on most combinations of commercial and investment banking in the Gramm-Leach-Bliley Act of 1999.
Community banks will resist any attempt to increase the 10 percent cap imposed by the Riegle-Neal Act or to broaden the definition of "deposit" under that Act," said Guenther.
Our regression equation also includes an indicator variable that captures the impact of the Riegle-Neal Act on the bid premium.
The prohibitions on interstate branching in general were greatly attenuated by the Riegle-Neal Act of 1994 authorizing interstate bank mergers and permitting interstate branching on a state opt-out basis.
Similarly, the comptroller of the currency acted to approve the movement of national banks across state lines before a number of legislatures could exercise their discretion under the Riegle-Neal Act to approve or disapprove interstate banking.