What are the regulations surrounding banking?
In California, banking law is governed by both federal and state regulations. Federal regulations are enforced by the Federal Reserve System, the Office of the Comptroller of the Currency, and the Federal Deposit Insurance Corporation. The Federal Reserve System oversees monetary policies and sets guidelines for banks to follow in terms of the opening, ownership, and operation of banks. The Office of the Comptroller of the Currency regulates banks that have been granted a national charter. The Federal Deposit Insurance Corporation (FDIC) provides deposit insurance for banks and other financial institutions, meaning that deposits up to $250,000 are insured by the government in case of a bank failure. At the state level, the California Department of Business Oversight is responsible for regulating state-chartered banking in California. The Department is responsible for holding banks accountable and ensuring that they comply with applicable laws and regulations. It also ensures banks are properly managed and operate in the best interests of their customers. The California Department of Business Oversight regulates a number of areas related to banking in California, such as licensing and supervision, consumer protection, and enforcing anti-money laundering and other anti-terrorist financing laws. It also has the authority to take corrective action against banks if they are found to be in violation of state or federal laws.
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