The passing of Dodd-Frank Act under the Obama government came as a blow to banking and financial services industry, especially to e-payday loans online in 2010 after the recession. Because of which the compliance burdens were created which made it difficult for the U.S. companies to compete with the foreign counterparts.

The banking and financial services are all set to benefit from the Trump rule. Finally, there is someone from the business side to look at the financial soundness and implications of the decisions on the business world. The unbelievable victory of Trump over Clinton has resulted in the key branches such as legislative and executive under the Republicans. Democrats and Ex-President Obama were not in favor of few regulations which will now be controlled by Republicans.

As is already known that Trump has been relatively quiet on his plans for banking policy, but he has already mentioned he wants Dodd-Frank act should be dismantled. Also, not only the act but much of the financial regulatory structure could be turned upside down, says Justin Schardin, the director of Bipartisan Policy center. Additionally, a lot of that decision also rests on who would be nominated for vacant positions of Federal Reserve, the Federal Deposit Insurance Corporation (FDIC) and Treasury Department.

What is financial regulation plan of Republicans?

Republicans already have a blueprint of the financial policy they would want to follow regardless of the Trump nominees. The mentioned blueprint is Financial Choice Act which seeks to undo many major provisions of Dodd-Frank.

The Director of financial regulation studies at Cato Institute, Mark Calabria is certain that Financial Choice Act will come back in next congress. This act was introduced by Representative Jeb Hensarling, who leads House Financial Services Committee. Calabria says that the bill is as is very comprehensive but some points; including community banking relief could likely pass.

A longtime industry representative who asked not to be named feels that the Financial Choice Act would yield significant benefits for banking. Also, he thinks that the largest financial institutions would get relief with the provisions to repeal the Durbin amendment and Volcker rule.

The Consumer Financial Protection Bureau (CFPB) funding and structure is likely to be reformed by Hensarling bill. CFPB is frequently lambasted by Republicans to make it less powerful.

Are these the best odds for community banking relief?

Well, Under the Trump leadership community and regional banks have the best odds of regulatory relief. Some prominent banking position holders think so. According to Paul Merski, the executive vice president at Independent Community Bankers of America, having the same party in control of congress as well as White House predicts that community banking relief will get passed. Also, he thinks that there is a better scenario for legislation to move through entire congress and get signed by president into the law.

The similar sentiment is echoed by Senator Mike Crapo heading the powerful Senate Banking Committee. As he hails from Idaho, a state far away from Wall Street, he is widely expected to back the legislation that would benefit smaller institutions.

Additionally, few Democrats including Senator Sherrod Brown from Ohio who is the ranking member on the Senate Banking Committee have embraced the idea of providing regulatory relief for community banks.

All in all future of the banking sector as well as financial services industry seems brighter. It will help the e-payday loans online to compete with their foreign players fairly without the legislative burdens the current financial policy imposes on them.