New Rules News

Big Banks Want You Back

smitchell — Thu, 11 Mar 2010 17:12:24 -0600

Those who wonder whether public anger at big banks and the Move Your Money sentiment sweeping the country is substantial enough to impact these giants need only look at the banks' own marketing over the last few weeks to see the proof.

In a spate of new advertisements and PR maneuvers, the nation's largest banks are working hard to win us back. They are, in effect, standing on our doorstep, flowers in hand, trying to convince us they've changed.

They're using words like "local" and "community," because they know quite well that there's a rival for our affections. A recent Zogby poll found that nearly one in ten Americans had moved at least some of their business to small banks or credit unions.

Eastern States Resist Paying for Delivery of Midwest Wind Power

jbailey — Wed, 10 Mar 2010 12:43:29 -0600

A coalition of utilities have announced their opposition to a series of 765-kilovolt transmission lines, more than double the capacity of the current 345-kilovolt lines. The lines are proposed as a way to send electricity from the Dakotas, Iowa and Minnesota to Chicago and points east. "If Iowa wants to build a transmission line for their energy, we have no objection. But Iowa or the Midwest should pay for it," said Ian Bowles, secretary of energy and environmental affairs in Massachusetts. New England states want to produce their own wind energy from offshore farms.

Move Your Money and Save

smitchell — Mon, 22 Feb 2010 09:33:05 -0600

This article was originally published on Huffington Post as part of a partnership with their Move Your Money campaign.

Bigger banks were suppose to lower costs for consumers. That was the promise made repeatedly in 1994 and again in 1999, when Congress dismantled laws that had long restricted the size and scope of banks, ushering in a wave of mergers that left the industry dominated by a few financial giants.

Just seven years after the Glass-Steagall Act was abolished in 1999, the fees consumers were paying on their checking and savings accounts had skyrocketed, rising from $21 billion to $36 billion. (And these amounts do not include credit card and ATM fees, which also shot up.)

Today, new data show that big banks still impose much higher costs on their customers than small banks and credit unions do. Not only are fees lower, but several studies have found that smaller banks and credit unions pay higher interest on savings accounts.

Moving our money to these local institutions could save us billions of dollars a year.

Banks and Small Business Lending

smitchell — Wed, 10 Feb 2010 07:58:23 -0600

This article was originally published on Huffington Post as part of a partnership with their Move Your Money campaign.

Banking consolidation was constricting the flow of loans to small businesses long before the recession. So it's no surprise that the money taxpayers have spent over the last sixteen months shoring up big banks has done nothing to free up credit for small businesses.

To do that, we need to focus on expanding the capacity of small banks to lend to local businesses that have, as a result of the recession and through no fault of their own, become riskier investments. A key issue is whether the Senate will quickly reauthorize a critical loan-guarantee program.

Britain Moves Feed-in Tariffs to a Whole New Level

admin — Wed, 03 Feb 2010 13:16:23 -0600

In a truly groundbreaking move for the English-speaking world, Britain's Department of Energy & Climate Change (DECC) has released a full suite of renewable energy tariffs that go into effect in April. Britain will become the first country in the world to offer a comprehensive system of tariffs for renewable heat, including tariffs for solar domestic hot water and ground-source heat pumps among others.

Financial System Even More Vulnerable Now, Warns Inspector General

smitchell — Tue, 02 Feb 2010 09:11:11 -0600

The latest report from TARP Inspector General Neil Barofsky warns:

"Even if TARP saved our financial system from driving off a cliff back in 2008, absent meaningful reform, we are still driving on the same winding mountain road, but this time in a faster car."

Control Your Cash - Move Your Borrowing Along with Your Money

admin — Fri, 29 Jan 2010 15:14:17 -0600

The New Rules Project, in partnership with HuffPost's Move Your Money campaign, is using its Community Banking Initiative to get out the word that banking locally can put the power back in the hands of individuals and communities, rather than Wall Street's CEOs.

As more of us ditch the big banks in favor local banks and credit unions, we need to give thought to both the saving and lending sides of a bank. Each is crucial.

Holiday Sales Increase at Independent Businesses, National Survey Finds

smitchell — Thu, 14 Jan 2010 12:49:49 -0600

MINNEAPOLIS, MN (Jan. 14, 2010) - More holiday shoppers deliberately sought out locally owned businesses this year, according to a national survey of more than 1,800 independent businesses.

The survey found that holiday sales for independent retailers were up an average of 2.2%. That contrasts with the Commerce Department figures released today, which show that overall retail sales were down 0.3% in December and up 1.8% in November.

The survey also found that independent retailers in cities with active "Buy Local" or "Think Local First" campaigns reported stronger holiday sales than those in cities without such campaigns.

Financial Crisis Commission Hearings Begin

smitchell — Wed, 13 Jan 2010 14:09:56 -0600

Hearings held to investigate the crash of 1929 led to the passage of the Glass-Steagall Act, which fundamentally restructured the banking industry. Can the FCIC hearings, which get underway today, help to bring it back?

The Too Big Are Now Even Bigger

smitchell — Thu, 17 Dec 2009 16:28:09 -0600

Among the many charts in the Congressional Oversight Panel's latest report, this is probably the most arresting and important.