As background to an examination of the Federal Bank Commission Act, this Note will explore the two most important causes of the deficiencies in the present commercial banking system. The first cause is the existence of a "dual banking" system, under which banks may choose between state or federal charters. The resulting division of regulatory authority encourages banks to "shop" for the most favorable regulation. The second major cause of deficiencies in the banking system is the three-tiered organization of federal regulation. The Act consolidates the three federal agencies into a single regulatory Commission. Emphasis also will be placed on the Act's effect on the dual banking system, with a view toward improving the overall structure of banking regulation.
Note, The Federal Bank Commission Act: A Proposal to Consolidate the Federal Banking Agencies, 25 Clev. St. L. Rev. 475 (1976)