Senate Approves Bank Amendment to Fund More Business Loans

Bill includes $12 billion in tax incentives and changes to business lending programs

More On Legal & Compliance

from The Advisor's Professional Library
  • Use and Misuse of Social Media Social media is an inexpensive and effective way to communicate with established and prospective clients.  Nevertheless, when RIAs utilize social media to promote their advisory practices, they risk compliance problems for their firms.
  • Trading Practices and Errors When SEC-registered investment advisors conduct annual audits of firm policies and procedures, they should pay close attention to trading practices.  Though usually not required to, state-registered advisors should look at their trading practices and revise policies that do not fully protect clients.

In a late-night session and after extensive procedural maneuverings, the Senate last night on Thursday, July 22, approved a $30 billion fund that community banks can access to fund more business loans.

The move came as an amendment to a small business lending bill.

It is uncertain what, if any, other amendments Senate leaders will allow to be offered, which means that credit unions may again fall short in their effort to win approval for an increase in the cap on member business loans from 12.25% of assets to 27.5% of assets. Sen. Mark Udall (D-Col.) has sponsored an amendment to permit that increase.

Last night's vote on the amendment was 60-39 along party lines, with the exception of two Republicans who supported the amendment.

In addition to the bank fund, the bill also includes $12 billion in tax incentives and changes to business lending programs.

Claude R. Marx, the writer of this report, is the Washington, D.C., correspondent for Advisor Media Group's sister publication Credit Union Times.

Reprints Discuss this story
This is where the comments go.