Senate Proposes Super-Regulator For Banks

The Senate Banking Committee is proposing merging four bank agencies into one super-regulator in

order to diminish the role of the central bank as a system wide overseer.

Although this proposal is expected to be opposed by the Federal Reserve and President Obama, the Senate Banking Committee feels that having one regulator for banking will prevent companies from shopping for the easiest regulator.

Critics say that interest rate cuts are currently fueling the housing bubble but the Feds are neglecting the fact that lending abuse is a major problem. Will this truly solve the banking problems?