What is banking deregulation?
Bank deregulation is when the rules, laws and regulations that banks are subject to are reduced or eliminated. Deregulation allows banks and other financial services institutions to market products and services in other industries.HistoryThe Gramm-Leach Bliley Act reversed the Glass-Steagall Act of 1933 which imposed regulations on banks which prevented them from entering the investment and insurance markets, according to the website The Provocateur.EffectsThe Gramm-Leach Bliley Act was signed into law in 1999 and it allowed banks and other financial services companies to sell products from other industries, according to the website the Provocateur.SignificanceDeregulation provides banks and other financial services companies with an opportunity to sell investment and insurance products in addition to standard bank products such as loans. Many of these companies offer checking accounts, loans, credit cards, insurance and investment products. These are for the most part one-stop shoppin
