Close the Shadow Banking Loophole Act

Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.

Congressional Research Service

Official summary

Version 00 · Introduced in Senate · Dec 6, 2022

Close the Shadow Banking Loophole Act

This bill (1) provides for the federal regulation and supervision of industrial banks, also known as industrial loan companies (ILCs), and their parent companies; and (2) sets forth a deadline for the consideration of pending ILC Federal Deposit Insurance Corporation (FDIC) deposit insurance applications. ILCs are state chartered institutions owned by nonfinancial businesses (parent companies) that provide several services similar to banks, such as originating loans and processing payments. The parent companies are not subject to supervision by the Federal Reserve Board. Under current law, the Federal Deposit Insurance Corporation (FDIC) may grant deposit insurance to these institutions.

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People & committees

Who introduced it

Sen. Brown, Sherrod [D-OH] · D–OH

Committees

Banking, Housing, and Urban Affairs Committee

2 cosponsorship records, including any withdrawals

Legislative record

Actions

A procedural vote is different from passage. Passage in one chamber does not establish enactment. Explore the glossary.

Dec 6, 2022
Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
Dec 6, 2022
Introduced in Senate

Primary sources

Bill text & related measures

Text links open the official source. We currently store references to these documents.

Introduced in Senate · Dec 6, 2022 Formatted Text PDF Formatted XML

Related bills identified by Congress.gov

S 3538 · Close the Shadow Banking Loophole Act

Source last updated: Jan 14, 2025. Consult Congress.gov for the current record.

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Analyze S.5189 as objectively as possible. Explain its main provisions, who would be affected, possible benefits and harms, implementation, exceptions, and uncertainties. Present the strongest arguments for and against it, and identify evidence needed to assess its public impact.

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Discuss S.5189, 117th Congress: Close the Shadow Banking Loophole Act

Official record: https://www.congress.gov/bill/117th-congress/senate-bill/5189

Text version to examine: Introduced in Senate · 2022-12-06.

Official full text: https://www.congress.gov/117/bills/s5189/BILLS-117s5189is.htm

Imported record last updated by the source: 2025-01-14T18:20:21Z. Verify current status and distinguish any later version from the version above.

Read the official text before answering. If you cannot access it, say so and ask me to provide it; do not assume a link means you have read the document. Distinguish proposals from enacted law, cite sources, and separate facts, interpretation, and uncertain predictions. Include counterarguments even when using a particular perspective.

Analyze S.5189 as objectively as possible. Explain its main provisions, who would be affected, possible benefits and harms, implementation, exceptions, and uncertainties. Present the strongest arguments for and against it, and identify evidence needed to assess its public impact.

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Discuss S.5189, 117th Congress: Close the Shadow Banking Loophole Act

Official record: https://www.congress.gov/bill/117th-congress/senate-bill/5189

Text version to examine: Introduced in Senate · 2022-12-06.

Official full text: https://www.congress.gov/117/bills/s5189/BILLS-117s5189is.htm

Imported record last updated by the source: 2025-01-14T18:20:21Z. Verify current status and distinguish any later version from the version above.

Read the official text before answering. If you cannot access it, say so and ask me to provide it; do not assume a link means you have read the document. Distinguish proposals from enacted law, cite sources, and separate facts, interpretation, and uncertain predictions. Include counterarguments even when using a particular perspective.

Examine S.5189 through a progressive lens, focusing on fairness, access, economic inequality, and effects on vulnerable communities. Explain potential benefits, costs, and unintended consequences. Consider the strongest counterarguments and distinguish stated goals from demonstrated outcomes.

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Discuss S.5189, 117th Congress: Close the Shadow Banking Loophole Act

Official record: https://www.congress.gov/bill/117th-congress/senate-bill/5189

Text version to examine: Introduced in Senate · 2022-12-06.

Official full text: https://www.congress.gov/117/bills/s5189/BILLS-117s5189is.htm

Imported record last updated by the source: 2025-01-14T18:20:21Z. Verify current status and distinguish any later version from the version above.

Read the official text before answering. If you cannot access it, say so and ask me to provide it; do not assume a link means you have read the document. Distinguish proposals from enacted law, cite sources, and separate facts, interpretation, and uncertain predictions. Include counterarguments even when using a particular perspective.

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Discuss S.5189, 117th Congress: Close the Shadow Banking Loophole Act

Official record: https://www.congress.gov/bill/117th-congress/senate-bill/5189

Text version to examine: Introduced in Senate · 2022-12-06.

Official full text: https://www.congress.gov/117/bills/s5189/BILLS-117s5189is.htm

Imported record last updated by the source: 2025-01-14T18:20:21Z. Verify current status and distinguish any later version from the version above.

Read the official text before answering. If you cannot access it, say so and ask me to provide it; do not assume a link means you have read the document. Distinguish proposals from enacted law, cite sources, and separate facts, interpretation, and uncertain predictions. Include counterarguments even when using a particular perspective.

Examine S.5189 through a civil-liberties and limited-government lens. Consider individual rights, privacy, voluntary choice, accountability, and government power. Explain tradeoffs, possible safeguards, and the strongest counterarguments without assuming the proposal is beneficial or harmful.