's provision raising the federal deposit insurance ceiling from $40,000 to $100,000 per account clearly represented greater interference in loanable-funds markets.
Deregulation began in 1980 with DIDMCA
, which phased out all deposit rate ceilings except the prohibition of paying interest on demand deposits.
Swary, 1988, "The Effects of DIDMCA
on Bank Stockholders' Returns and Risk," Journal of Banking and Finance 12, 317-331.
across a larger geographic scope, DIDMCA
and the pro-securitization
(148) But this legislation indicates that if a state wishes to stop payday loan companies from renting the charters of national and out-of-state banks, there might be a way to do so that would not require Congress to amend the NBA and DIDMCA
: Depository Institutions Deregulation and Monetary Control Act
and the merger waves may have induced some of the changes in my sample period.
For example, the DIDMCA
of 1980 eliminated the 5 percent minimum statutory capital requirement and replaced it with a new statutory range of 3 to 6 percent.
Monetary Control Act (DIDMCA
) Phased out interest rate ceilings.
Congress passed the Depository Institution Deregulation and Monetary Control Act (DIDMCA
) in March 1980.
On the capital and credit sides, we see decline in loans due to the Depository Institutions and Monetary Control Act of 1980 (DIDMCA
) that eliminated interest rate ceilings on mortgage loans among other things, and the Garn-St.
Allen and Wilhelm (1988) found that the passage of the Depository Institutions Deregulation and Monetary Control Act (DIDMCA
) of 1980 resulted in a positive abnormal price performance for Federal Reserve System (FRS) banks, and significant negative price performance for non-FRS banks and savings and loans.