President Obama's proposed reforms to the financial industry are drawing mixed reactions from Wisconsin bankers.
The president's plan puts tougher capital requirements on big banks, changes regulations for financial markets, and creates a new consumer protection agency.
Wisconsin Bankers Association President Kurt Bauer sees some good in the proposal, in that it applies many of the same regulations on the banking sector to many non-bank lenders. He also likes that it changes how so-called "to big to fail" institutions are treated.
However, Bauer is worried the changes could trickle down and result in harsh and costly regulations for smaller banks. He says most community banks were ethical before the crisis and were not responsible for many of the nation's current fiscal woes and they shouldn't be lumped in with the guilty.
Bauer says too much regulation could make it harder for some community banks to stay open, as they struggle to keep up with increase fees and regulatory compliance standards.
Bauer says community banks didn't cause the financial meltdown, so they shouldn't have to pay to fix it.
