Predictability in Reviewing Bank Mergers Recently, there has been significant attention focused on the role of federal bank regulators in reviewing merger applications, with scrutiny of not only the rigor of the review, but also on how the review process impacts the merger applicants. I certainly welcome this discussion and hearing public feedback, to see if the process can be improved.
Congress established the factors that must be considered when the Federal Reserve and other regulators review bank applications. These include the competitive effects of the proposed merger, financial and managerial resources, future prospects of the merged institutions, convenience and needs of the communities to be served, compliance with money laundering laws, and the effect of the transaction on the stability of the financial system.