President Trump Meets With CEO’s of Small and Community Banks…

Our President Trump met with the CEO’s of various small and community banks earlier today as part of the financial reform that underpins much of the overall Trump economic agenda.

Previously President Trump issued an executive order which modified, actually tiered, the choking rules, regulations and compliance reporting within Dodd-Frank banking rules which buried smaller locally operated banks with the same regulatory framework as massive financial institutions.

The next aspect of Trump’s financial reform will most likely come in some form of reinstatement of the Glass-Steagall Act. President Trump personally put the reinstatement of Glass-Steagall into the GOP platform as part of uncoupling Wall Street financial policy from Main Street financial needs. [More explanation on that below]

[Transcript] 11:17 A.M. EST – THE PRESIDENT: Thank you, everybody, very much. Good morning and I greatly appreciate you being here. We have some real experts with us and we have some great bankers with us.

Today’s discussion is crucial to my jobs agenda and to the American people. Community banks play a vital role in helping create jobs by providing approximately half of all loans to small businesses, and that’s been dwindling because the community banks have been in big trouble.

Nearly half of all private-sector workers are employed by small businesses. We must ensure access to capital. Small businesses — small businesses to grow. Community banks are the backbone of small business in America. We are going to preserve our community banks.

You probably know this — I signed an executive order on regulation on February 3rd, I believe it was. And that’s a big executive order, a very powerful executive order. It’s taking a lot of the regulation away. You’ll be able to loan. You’ll be able to be safe. But you’ll be able to provide the jobs that we want and also create great businesses.

So it’s an honor to have you with us today, and perhaps we could go around the room. And we’ll start with Dorothy, and say who you are and who you represent.

Go ahead, Dorothy.

MS. SAVARESE: Thank you, Mr. President. I’m Dorothy Savarese. I’m from Cape Cod Five Mutual Company on Cape Cod, Massachusetts.

MS. ANDERSEN: And I’m Leslie Andersen, and I’m with the Bank of Bennington in Bennington, Nebraska.

MR. ZIMMERMAN: Tim Zimmerman, Standard Bank in the suburbs of Pittsburgh, Pennsylvania.


MS. ROMERO RAINEY: Rebeca Romero Rainey from Centinel Bank in beautiful Taos, New Mexico.


MS. CUNDIFF: I’m Luanne Cundiff with First State Bank of St. Charles.

MR. Heitkamp: I’m Scott Heitkamp, ValueBank Texas in Corpus Christi, Texas.

THE PRESIDENT: Good. Thanks, Scott.

MS. STEWART: Laura Steward from the other Washington — Seattle. (Laughter.)

MR. SZYPERSKI: Jeff Szyperski from Chesapeake Bank from Kilmarnock, Virginia.

THE PRESIDENT: Good, thank you.

MR. BURGESS: And I’m Ken Burgess with FirstCapital Bank of Texas in Midland, Texas.

THE PRESIDENT: Good. Thank you.

Okay, thank you very much. Thank you.

END 11:20 A.M. EST

Specifically demanded in 2016 by Donald Trump himself:

We support reinstating the Glass-Steagall Act of 1933 which prohibits commercial banks from engaging in high-risk investment,” said the platform released by the Republican National Committee. (link)


♦ In most of the modern post-war industrial era (1950-1980) banking was a boring job and only slide rule bean-counters and actuarial accountants moved into that sector of the workforce. Most people don’t like math – these were not exciting jobs. Inside the most boring division of a boring banking industry were the bond departments within the larger bank and finance companies.

The excitement was in the actual economy of Main Street business. The giants of industry created businesses, built things, manufactured products, created innovation and originated internal domestic wealth in a fast-paced real economy. Natural peaks and economic valleys, as the GDP expanded and contracted, based on internal economic factors of labor, energy, monetary policy and regulation.

Main Street generated the pool of politicians because the legislative conduct of politicians had more impact on Main Street. The business agents had a vested interest in political determinations. Political candidates courted industrialists, business owners, and capitalist giants to support them. Main Street USA was in control of DC outcomes.

Despite the liberal talking points to the contrary, this relationship was a natural synergy of business interests and political influence. It just made sense that way, and the grown-ups were generally in charge of it.

government-money♦ Commercial banks courted businesses because bankers needed deposits. Without deposits banks could not generate loans; without loans banks could not generate profits…. and so it was. By rule only 10 percent of a commercial bank’s income could stem from securities.

One exception to this 10% rule was that commercial banks could underwrite government-issued bonds. Investment banks (the bond division) were entirely separate entities. The Glass-Steagall banking laws of 1932 kept it that way.

However, mid 1970’s bank regulators began issuing Glass–Steagall interpretations -that were upheld by courts- and permitted banks and their affiliates to engage in an increasing variety and amount of securities activities. After years of continual erosion of the Glass-Steagall firewall, eventually it disappeared.

This became the origin of the slow-motion explosion of investment banking. If you look back historically from today toward 1980 (ish) what you will find is this is also the ultimate fork where economic globalism began overtaking economic nationalism.

Banks could now make money, much more money, from investment divisions issuing paper financial transactions, not necessarily dependent on actual physical assets. The transactions grew exponentially.

The bond market portion ultimately led to the ’07/’08 housing collapse, and derivative trading (collateralized debt obligations or CDO’s) generated trillions of paper dollars. Business schools in 1980 began calling this the second economy (a false economy, or the invisible economy).

The second economy, which ultimately became the global economy, is also the Wall Street investment economy. Two divergent economies: Wall Street (paper), and Main Street (real).

There is no real property, real capital, real tangible assets in the Wall Street economy. The false economy is based on trades and financial transactions, essentially opinions. Paper shifts, and buys and sells based on predictions and bets (derivatives).

Insurance products create an even larger subdivision within the false economy as hedgers wagered on negative outcomes. The money wagered is exponential – some say more than a quadrillion currently floats.

♦ Now you realize, in hindsight, there had to be a point where the value of the second economy (Wall Street) passed up the first economy (Main Street). Investments, and the bets therein, needed to expand outside of the USA. hence, globalist investing.

However, a second more consequential aspect happened simultaneously.

a17b2-hip-replacement-recall-briberyThe politicians became more valuable to the Wall Street team than the Main Street team, and Wall Street had deeper pockets because their economy was now larger.

As a consequence Wall Street started funding political candidates and asking for legislation that benefited their interests.

When Main Street was purchasing the legislative influence the outcomes were beneficial to Main Street, and by direct attachment those outcomes also benefited the average American inside the real economy.

When Wall Street began purchasing the legislative influence, the outcomes therein became beneficial to Wall Street. Those benefits are detached from improving the livelihoods of main street Americans because the benefits are “global” needs. Global financial interests, investment interests, are now the primary filter through which the DC legislative outcomes are considered.

There is a natural disconnect.

♦ When Speaker Paul Ryan says: “Donald Trump and I come from two different wings of the party”, he is specifically pointing out this disconnect, yet few draw attention to it.

Trump represents the Main Street wing, Ryan represents the Wall Street wing.

The news and opinion punditry never take the time to explain the root cause of the disassociation, because: A) Younger punditry do not truly understand it; and B) Older punditry are compensated by large financial interests to remain willfully blind, and to ignore or not explain it.

Yes, there is a fundamental ideological conflict as an outcome of the 2016 election:

WHITE HOUSE: Today President Donald J. Trump hosted a National Economic Council listening session in the Roosevelt Room of the White House with community bankers from around the country.

The President and the community bankers—along with Treasury Secretary Steven Mnuchin and National Economic Council Director Gary Cohn—discussed how excessive regulation is threatening the future of community banking in America. President Trump noted that community banks are crucial to our Nation’s economy, particularly because they provide approximately half of all loans to small businesses—the engines of economic growth and job creation in the United States.

Current one-size-fits-all banking regulations have badly hurt America’s community banks. President Trump promised to work to tailor the Nation’s regulatory framework so that it accounts for the unique challenges faced by community banks.  (link)

This entry was posted in Big Government, Big Stupid Government, Donald Trump, Economy, Education, Election 2016, Election 2017, media bias, Mike pence, Paul Ryan, President Trump, Professional Idiots, Uncategorized, US Treasury. Bookmark the permalink.

78 Responses to President Trump Meets With CEO’s of Small and Community Banks…

  1. SoCal Patriot says:

    Does anyone really recall any meetings like this from Obama? There were a couple of meetings early in his time as POTUS regarding Obamacare, but all he did was lecture Republicans.

    Liked by 11 people

    • 7delta says:

      Don’t be mean to Barry. He met with Al Sharpton, Jay Z and CAIR…a whole bunch of famous people. He chatted with Erdogan on the phone and the guy that sets up tee times. Seriously, he was a busy man. He couldn’t met with everybody, especially the unimportant ones. He had to pace himself, you know. /s

      Liked by 2 people

    • MVW says:

      ‘Community Organizer’ did not include community banks, just community thieves and crooks.

      Liked by 2 people

    • Vince says:

      Very few people in Obama’s cabinet had private sector experience, and if they did, it was likely to be at a big bank. Obama couldn’t have a meeting like this because there would be no common points for dialog.

      One thing left out of the banking discussion is interest rates. Interest rates have been falling since the 80s, which forced financial institutions to persue more risk.

      Liked by 1 person

      • Interest rates were falling b/c govt deficits created more paper/electronic money, driving down the cost/value of each dollar. If the dollar becomes valuable, interest rates will go up. And see? Interest rates are going up right now.

        As I have said before, the Fed follows interest rates, it does not control them. Shhhh. The Fed governors and politicians pretend not to know that!


  2. Justin says:

    This is all VERY good news. This would have helped limit the “credit crisis” to non-depository institutions by eliminating or reducing the more esoteric “investments” and bets that were made.

    Liked by 5 people

  3. A2 says:

    Glass-Steagall. Music to my ears.

    Liked by 8 people

    • Ploni says:

      Now, these cutthroat (and in my opinion) traitorous bankers have to be forced through strict legislation and penalty of law NOT to sell out their local communities by gobbling up each other to form bigger and bigger banking corporations.

      It is the one-branch, local banks that were once the foundation of our local communities economies. For decades, they’ve been allowed to merge into larger and larger regional banking corporations that have become out-of-touch with average Americans.

      This has to end.

      Liked by 4 people

      • annieoakley says:



      • Wavetheshales says:

        You’re placing the blame on the local banks. Typical liberal point of view.

        The small banks were FORCED to merge, or cease to exist. I have friends and relatives who went through this, so I know.

        The globalists (e.g. Soros, Draghi) are pushing the maxi-mega-giga banks, not the community banks. Look at Agenda 2010, Agenda 2030, .
        They won’t be happy until they have ONE COMPANY, ONE COUNTRY, ONE CHURCH, ONE WORLD. Satan, Inc. That’s what the New World Order is all about.

        E Pluribus Unum, Novus ordo seclorum, and ordo ab chao all fit this malevolent end.


      • Some mergers were forced by FDIC officials, to take failing banks off the hook, the non-failing banks were bribed by the FDIC to take on the bad banks. This happened with credit unions, too. There is a bias in the current financial world that bigger is better.

        Of course, we know that is not true. The big national banks can do the big loans for national projects like utilities, oil drilling, highways, and the like.

        Community banks can do the local loans.


    • MVW says:

      Deregulation of banks is not the same thing as deregulation of business. Deregulation of banks meant loan products that unhinged the money supply and took sanity out of lending, a ‘Madoff’ wonderland. Money supply spun out of control with over leveraged banks, cascading bad loans, that led to loan failure propagation. Too much consolidation led to too big to fail.

      Glass – Steagall was supposed to stop this cascade on multiple levels and prevent large business cycles.

      We will see if Trump is successful with re-emplimentation.

      Liked by 2 people

  4. Pam says:

    POTUS is a master negotiator who knows how to make great deals. How blessed we truly are.

    Liked by 9 people

  5. James23 says:

    I am soo Happy with President Trump. He’s doing a fantastic job!

    Liked by 7 people

  6. adoubledot says:

    Not to nitpick SD, but…well OK, I’m gonna nitpick. Actuaries aren’t accountants and vice versa. Each are trained to do completely different types of work.

    Liked by 2 people

  7. Marc says:

    Get ready for Swampkeepers Cavuto and Charlie GasbagRINO to kvetch, moan, and cry foul over Glass-Steagall reinstatement.

    Liked by 5 people

  8. wodiej says:

    I worked in banking and the financial sector for 20 years and I seen firsthand the decline. When they allowed this to happen, all of the hometown banks were getting gobbled up. I worked at a local bank which got bought out twice before becoming the crooked Wells Fargo. Eventually they eventually moved all of our jobs out of state. Pure and simple greed-that’s all it is.

    Liked by 8 people

  9. Pam says:

    Liked by 5 people

    • annieoakley says:

      Big mistake consumers.

      Liked by 1 person

      • ecmarsh says:

        To all the more educated people, I have a BS in BS. I love to study the Bible, history, and words / phrases.
        If you worked for someone you were an employee, now you are a human resource.
        If you purchased stuff you were a customer, now you are a consumer.
        Think about it. We are human resources that consume disposable junk.
        I pray, soon we will again be employers, employees and customers. /rant off


        • Wavetheshales says:

          A very large computer company I worked for had the same form for resource and “human” transfers. Shows what they thought of us. (And no, it wasn’t always that way…..).
          Now it’s about ten different companies, all in various states of FAIL…..


  10. Phil aka Felipe says:

    A little history of the financial melt-down and who was behind it.

    Liked by 2 people

  11. rsanchez1990 says:

    I’ve seen generally positive reception around the net to talk about reinstatement of Glass-Steagall. What has been peculiar is that apparently this is the first time that *many* people have heard talk about reinstatement of Glass-Steagall from Donald Trump. If they had followed Donald Trump’s campaign and learned his actual policy ideas (not the ones the media wants you to think he has), they would have been expecting talk about Glass-Steagall for a while now. I know I’ve been expecting it, especially after the media and various pundits tried to paint President Trump as friendly to the big banks because of his Dodd-Frank executive order. This is just President Trump continuing to follow up on his campaign promises.

    Liked by 5 people

    • darththulhu says:

      If someone was getting news primarily from MSM (and/or MSM-echoing social media), there was a near-total blackout on all discussion of Glass-Steagall.

      During the primaries, it would have helped Bernie and hurt Clinton, so both wings of the MSM could not have that. During the general, it would have helped Trump and hurt Clinton, so both wings of the MSM could not have that. It reflects incredibly poorly on Bill Clinton’s administration and the “just go with it” Bush II administration, so both wings of the MSM cannot have that.

      Anyone who doesn’t pursue independent news sources, or independently research Depression-Era financial history and the roots of the 2008 financial crisis, is never going to hear about Glass-Steagall. They have been deliberately misinformed … help them out with some wisdom.

      Liked by 2 people

      • Katherine P Sigel says:

        I’ve stopped watching the “democrat and republican” channels but I can’t seem to find, or don’t know how to find other resources. I would truly appreciate any information you could give me.


  12. Fe says:

    This makes my heart happy to see ordinary people from all over the country meet with our President, have lunch etc. how thrilling this must be for each guest.

    Liked by 3 people

  13. Phil aka Felipe says:

    1950’s were very good years. Let’s see ’em again!

    Liked by 2 people

  14. Fe says:

    Yes, I agree!


  15. Fe says:

    Sundance thank-you for the transcript. I’m a big proponent of transcripts being hearing impaired. 😀

    Liked by 3 people

  16. Phil aka Felipe says:

    Great article SD.

    We need Glass-Steagall to hopefully reign in another crisis brought on by the abuse of our system by greedy globalist bankers.

    Here is a good visual explanation of what happened in the credit crisis of 2008.

    Liked by 1 person

  17. ecmarsh says:

    I noticed something. As many or more women bank reps. than men (didn’t go back and count.)
    I do know that generally good women are better with money and finances than men. My wife has always taken care of the children, home, and finances. I worked and brought home the bacon and sometimes it wasn’t very much. If not for my wife I wouldn’t have a pot to pee in my older years.
    That said, there is stuff that I am better at than her.

    Liked by 2 people

  18. abstain says:

    I’ve always liked my small community bank.
    And there’s my bank president smiling away in the Oval Office with The Donald. So cool.

    Liked by 3 people

    • When the financial markets were collapsing in 2008, I was at the annual meeting of our state reporters group. One scared woman asked me, “How can I find out which are the good banks?”

      “Make sure you know the President and can visit him in his office any time you want,” I replied.

      She looked at me as if I was cray-cray! She was with a big bank and she had had never even wondered who the president was. I suggested that she find a small bank or credit union. Never heard from her again. I wonder what happened to her?


  19. TexasDude says:

    All I am going to say is this, the local community bank I once belong to (DATCU) did not care when my family was in dire straights and then kicked us out when we legally went bankrupt even though they were made financially whole in short order. Moreover, when I went overseas for the US military, at the time, there was no access to my account.

    Screw ’em, I said.


  20. Farmon says:

    I have a good friend in Vegas who did quality real estate development deals in Utah and Nevada. When our previous ~~~~ for brains president worked the regulation mojo my friend went ballistic. He was in business, had perfect credit, never late on anything and the banks stopped lending. He couldn’t get a loan for years, still can’t. He lost millions. He’s not the only one in that shape either. He bounced back, but in another related business. Terrible how they shut the lending completely down with their regulation BS.

    Liked by 1 person

    • Hard to believe, but banks and credit unions were forced by the regulators to do this. It all seemed so deliberate. Credit union managers were very unhapppy. Did you know there used to be such a thing as “character loans?” Money lent to people the managers had known personally for many years and understood their credit-worthiness.

      Also, managers were required to do “shock tests” on their loan portfolio. I.e. What would happen if there were a sudden interest rate shock? These heavy-handed regs came down well before the “financial crisis” erupted. I always wondered about that.


  21. TexasDude says:

    I have no faith in any bank to help me and my family in a time of neec. I use them, they use me.

    Insurance companies I view the same. No claims for almost 2 decades, record storms and 2 accidents later (1 not your fought), rates climb much higher.

    Screw ’em!


  22. maiingankwe says:

    I love the first part of the first sentence in this article the best…”Our President…”. I just love reading that, and it will never get old.

    Our President is doing so many things to help all of us in such a short amount of time. It baffles me how Ryan and others can complain they can only do one thing at a time, and there are only so many days they have free in which to do it. One of them even went on to say they’ve been working nights and weekends to get the new obama care/health care reform or whatever you want to call it up and ready to be voted on.

    I cannot imagine the big wigs doing all of the work, I’m sure it is mostly their underlings doing all of it and spending all the hours on it while the big-wigs are drinking their age-old brandy and barking orders and complaining they want to go home at a decent hour. And after all of the hard work and effort is put in they will stamp their names on all of it and jump in front of the cameras bragging how hard they had worked for us Americans.

    I would like to say thank you Sundance for explaining this in such an easy way to understand once again. I know it cannot be easy to do, so it is much appreciated.


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