T. Michael Price, first vice chair of the Pennsylvania Bankers Association (PA Bankers) and president and CEO of First Commonwealth Bank, recently testified on behalf of PA Bankers before the U.S. House Financial Services Subcommittee on Financial Institutions and Consumer Credit.
In his testimony, Price discussed the opportunities and challenges of emerging technologies in the financial sector, known collectively as fintech.
Price noted that community banks support responsible innovation in the financial services industry and highlighted the importance of banks having a visible presence in their communities. He emphasized that having consistent regulations for all providers of financial products and services creates better outcomes for consumers and small businesses.
“As policymakers look to encourage innovation, we must not lose sight of the tremendous value community banks offer to their local communities,” Price said. “Technology cannot wholly replace a local presence, and we must make sure that the benefits of innovation are delivered responsibly so that customers receive consistent treatment regardless of their provider.”
Price testified that regulation and supervision should be based on activity rather than the type of company conducting the activity. Such an approach, he said, would help ensure customers receive consistent protections and benefits.