The US House introduced the bill for roll-back financial regulations

Washington, June 9: US House of Representatives passed a bill to prevent another resistance to the replacement of the 2010 Dodd Frank Act, after the 2008 financial crisis. The House passed the Financial Choice Act along party lines by a vote of 233 to 186,  Xinhua news agency reported. On July 21, 2010, Doddon Frank Wall Street Reform and Consumer Protection Act President Barack Obama signed into federal law. The bill is not expected to receive sufficient support in the Senate in its current form since Democrats have universally opposed it.

The bill would allow banks with a simple leverage ratio of 10 per cent or higher to be exempted from a number of regulatory requirements, including Dodd-Frank's heightened standards for larger lendersThis creates the Consumer Financial Protection Bureau, revokes the Volcker Rule, which controls banks from predictive trade and removes the so-called hierarchical limitation power, which controls the process of closing larger financial institutions in disaster.

"Of all the regulations that were imposed on our economy in the Obama era, Dodd-Frank was the worst. In the House, we just threw it off," said Jeb Hensarling, chairman of the House Financial Services Committee and the lead author of the bill. Republican lawmakers considered the bill as a job maker because many of the requirements of the Dad-Frank legislation control the ability of banks to lend, particularly community banks and small businesses. However, the bill says it will bring about a financial disaster by removing key provisions on the economy.