Originally Posted by channingcrowderhungry
You forgot about the part where when we let banks do the banking, if they make poor decisions we have to let them fail.
There were moderately successful banking regulations prior to the repeal of Glass-Steagal. I think that you have to let the banks fail, while protecting the depositors to some extent. I don't think FDIC should pay 100% on every dollar up to $250k if a bank collapses--it should be more like 50%. Set limits on how much compensation a bank executive can make if his bank fails, going back 3-4 years so an executive can't rob a bank into failure. Have honest ratings on the financial condition of the bank, published routinely.
Accountability would be a good thing for banks. It would make them more focused on making good loans and less likely to fail in the first place.