Those criteria are:
Loans to small businesses to help grow jobs. “I have been to more than 175 cities and towns so far in the campaign,” he said, “and one thing I hear consistently is that while local community banks are helping the economy grow, the big national banks are strangling credit and preventing small and emerging companies from creating urgently needed new jobs.”
Mortgage foreclosures. Grossman said he was “shocked to learn that foreclosure notices in Plymouth County have jumped more than 375% this year. Because of prolonged unemployment the foreclosure crisis is getting worse not better. Once again the consistent complaint I hear is that community banks are trying to help people work out their problems while the big banks are unresponsive. I have been angered by the stories I have heard about bureaucratic evasion and shoddy customer service.”
Exorbitant credit card interest rates. “In order to beat the start date of the new federal credit card rules that went into effect this February, many card issuers jacked up their rates,” Grossman said. “Because credit cards are issued by banks that operate where there are no interest rate caps, some consumers are being hit with rates of 30% or more. If I am elected Treasurer, I will call upon the banks to limit credit card interest rates to the 18% cap set by Massachusetts law.”
“Short-term interest rates are less than 1%, and as a result most banks will be able to offer competitive rates,” Grossman said.
“In fact,” he added: “At these historically low interest rates, we are practically giving away money to those very banks that already benefited from a $700-billion federal bailout because they were ‘too big to fail.’ Nobody ever told me that my company was too big to fail. No one ever told average citizens that they were too big to fail. But we helped bailout the financial giants, and it is high time that the big banks do something for us.”
To ensure that there is no hint of favoritism or political influence, Grossman said that “his decisions on bank deposits and investments would be open to close public scrutiny. We will have a competitive bidding process where feasible and in all cases we will post the bids and the decisions on the Treasury’s website, going beyond the existing public records requirements of the office.”