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ogy environment and they need to have the opportunity tion. Fintech companies have done a lot to change how
to use those rules to fill market needs. banking services are delivered, and there will continue to
be a place for them in the overall system, whether some of
You are the first comptroller in decades who is a banker— them decide to become banks or not. Consider market-
and a banker who comes from outside of Washington, place lenders. Many of them are serving a different
D.C. How will this background affect how the OCC population than mainstream banks by accepting
interacts with its supervised institutions? greater risk and underwriting loans that banks
I think my experience as a banker can pro- may not be willing to originate. The market
vide some practical insight and direction to can support both, give consumers more choice
improve how the agency operates and where and expand inclusion. We welcome banks
we take policy actions. I have worked in vir- continuing to pursue innovation in order to

THE LAWS AND REGULATIONS AROUND THE BANK SECRECY ACT AND ANTI-MONEY

LAUNDERING ARE INTENDED TO PROTECT OUR FINANCIAL SYSTEM FROM BEING MISUSED FOR
ILLEGAL PURPOSES. BUT RATHER THAN SERVING THAT GOAL, OUR SYSTEM HAS EVOLVED INTO A
SERIES OF GOTCHAS AND OTHER UNHELPFUL ACTIVITIES. WE NEED A FRESH APPROACH.

tually every segment of the industry, including serving improve the products and services delivered to their cus-
consumers, businesses, trust functions, private bank- tomers and make their operations more efficient.
ing, investment services, legal, human resources, compli-
ance, audit, treasury, financial management, operations What is your view of the Volcker Rule?
and technology. This experience provides a broad base Volcker needs to be simplified. I think most of the big
of knowledge that will be helpful and insightful in my banks have adjusted, but the rule is still a challenge for
role as comptroller. small and midsize banks that were not the original tar-
gets of the rule in the first place. We are working with
Your predecessor opened a new debate in banking our fellow regulators and using the comments we re-
starting with responsible innovation. What’s your view ceived over the past summer to find some space within
of innovation and financial technology companies today? the rule where we can make things less complex and re-
Innovation is just how work gets done today and inno- duce the burden on those small and midsize banks.
vation has been part of banking for 150 years. Wave af-
ter wave of innovation has made banking more accessible What is your view of supervision and
and convenient. The latest wave of innovation has accel- examination in the national banking system?
erated that and helped make banking more efficient, and As a banker, I wanted my bank to be a federally char-
it has personalized banking for millions of people, giv- tered institution because I slept better knowing that the
ing them greater control over their finances. That’s a good OCC was my regulator. I think our nation’s banks and
thing. We need to make sure that progress doesn’t leave savings associations are the best regulated and super-
some consumers and communities behind, and we need vised financial institutions in the world.
to be sure that innovation does not result in unintended As comptroller, I want to find ways to provide that
risk to the safety and soundness of the system as a whole. same high level of supervision, but more efficiently and
effectively. One way we can do that is by empowering the
What are your thoughts on granting examiners in the field. Over time, too much oversight of
a charter to fintech companies? the examination process and decision making shifted
I have not yet decided whether the OCC will use its au- to Washington. On-the-ground examiners have the best
thority to issue special-purpose national bank charters to line of sight on what is occurring in the banks they over-
non-depository fintech companies engaged in the busi- see, and Washington needs to make sure they have the
ness of banking. That is something I need to study more resources, training and freedom to make the calls. As a
closely. There are still a lot of questions that need to be banker, I relied on the examiners in my bank. They pro-
answered before moving ahead. The best innovation that vided valuable insight and expertise. In the end, exam-
occurs outside of the banking system always finds its way iners and bankers work toward the same goal—a healthy,
into the system through purchase, partnership or imita- operating banking system. H

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