Book contents
- Frontmatter
- Contents
- List of Tables
- Acknowledgments
- Introduction
- 1 A Movement Takes Shape, 1831–1899
- 2 The Rise of the League, 1900–1929
- 3 From State to Federal Oversight
- 4 The Movement Becomes an Industry, 1930–1945
- 5 The Glory Years, 1946–1955
- 6 External Challenges and Internal Divisions, 1956–1966
- 7 Lost Opportunities, 1967–1979
- 8 Deregulation and Disaster, 1979–1988
- 9 Resolving the Crisis, Restoring the Confidence, 1989–1995
- 10 The American Savings and Loan Industry in Perspective
- Appendices
- Bibliography
- Index
3 - From State to Federal Oversight
Published online by Cambridge University Press: 29 October 2009
- Frontmatter
- Contents
- List of Tables
- Acknowledgments
- Introduction
- 1 A Movement Takes Shape, 1831–1899
- 2 The Rise of the League, 1900–1929
- 3 From State to Federal Oversight
- 4 The Movement Becomes an Industry, 1930–1945
- 5 The Glory Years, 1946–1955
- 6 External Challenges and Internal Divisions, 1956–1966
- 7 Lost Opportunities, 1967–1979
- 8 Deregulation and Disaster, 1979–1988
- 9 Resolving the Crisis, Restoring the Confidence, 1989–1995
- 10 The American Savings and Loan Industry in Perspective
- Appendices
- Bibliography
- Index
Summary
By the end of the 1920s, the thrift movement was larger and stronger than at any time in its history, but despite the best efforts of the United States League of Building and Loan Associations it still was not completely unified. One way to change this situation was to promote government oversight, since comprehensive regulation might result in greater public respect and recognition for B&Ls, protection from competition, and increased standardization within the movement. Government oversight of thrifts had begun at the state level in the 1860s, and by 1900 nearly every state had passed some form of thrift regulation, much of which was done at the behest of thrift leaders with relatively little public input. The fact that these laws were not uniform and often lacked detail led the League to consider federal regulation as a way to correct these inconsistencies. The movement, however, was not fully supportive of federal oversight, and resisted efforts to create a national mortgage credit bank after World War I. This attitude changed when the Great Depression caused massive economic turmoil, and between 1930 and 1934 Congress created a comprehensive set of thrift regulations, including a reserve banking system, federally chartered institutions, and deposit insurance. The process of securing these laws was difficult, however, since thrift leaders had to overcome considerable opposition from legislators, other financial institutions, and dissent within their own movement.
- Type
- Chapter
- Information
- From Buildings and Loans to Bail-OutsA History of the American Savings and Loan Industry, 1831–1995, pp. 69 - 99Publisher: Cambridge University PressPrint publication year: 2004