Valley Community Bank acknowledges that Washington policymakers understood the difference between Wall Street and Main Street banking when they included important concessions for community banks in the new Wall Street Reform Act that was signed into law in July, 2010. The law gives community banks concessions from certain lending and capital reserve regulations and directs the biggest banks to pay higher FDIC premiums.
Because community banks represent a different banking business and have a different risk profile from large and internationally-active institutions, the new law recognizes that they should be regulated differently. By holding the too-big-too-fail institutions accountable and creating special accommodations and provisions for community banks, the law creates an important precedent, which recognizes that Wall Street megabanks require significantly more regulatory checks and supervision than Main Street community banks.
“Main Street community banks like Valley Community Bank take pride in doing what is right for our customers,” says President and CEO Rick Loupe. “We focus on relationships with our customers who are not treated like numbers or a few dollars on the bottom line. They are our neighbors down the street, the small business owners across town and the hundreds of Tri-Valley and San Jose area residents that we serve.
“The concessions included in the Wall Street Reform Act establish a new congressional policy of tiered regulation. This new regulatory regime will allow Valley Community Bank to stay competitive in the marketplace and continue to do what we do best, serve our local customers the right way.”About Valley Community Bank Valley Community Bank, which is locally owned and operated, celebrated its twelfth anniversary in 2010. The bank opened for business on August 10, 1998 in the historic Johnston Building at 465 Main Street in Pleasanton and remains committed to its original objective of providing banking services to professionals and local businesses in the Tri-Valley and San Jose areas.