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→Repeal of Glass-Steagall Act: Travelers and Citibank
The repeal of Glass-Steagall also was recognition of other changes that had taken place, such as the [[Federal Reserve]]s' revision of Regulation Y in 1997, making it easier for Bank Holding Companies with a satisfactory [[Community Reinvestment Act]] (CRA) rating to receive quicker approval for new acquisitions and engage in other activities. University of Texas-Dallas economist Stan Liebowitz noted, “Banks that got poor reviews were punished; some saw their merger plans frustrated; others faced direct legal challenges from the [[Justice Department]].<ref>''[http://www.economist.com/node/10837333 The Economist,]'' Mar. 20, 2008.</ref> [[Alice Rivlin]], Clinton's Budget Director whom he later appointed to the Federal Reserve, said it would make the banking system "operate better as a result."<ref>[http://www.frbsf.org/publications/community/investments/cra97-3/regy.html Regulation Y Revised - Changes to the Federal Reserve Application Process,] Community Investments, Volume 9; No. 3; Summer 1997, By Mike Johnson, Applications Officer, Federal Reserve Bank of San Francisco.</ref>
The repeal of Glass-Steagall also was recognition of other changes that had taken place, such as the [[Federal Reserve]]s' revision of Regulation Y in 1997, making it easier for Bank Holding Companies with a satisfactory [[Community Reinvestment Act]] (CRA) rating to receive quicker approval for new acquisitions and engage in other activities. University of Texas-Dallas economist Stan Liebowitz noted, “Banks that got poor reviews were punished; some saw their merger plans frustrated; others faced direct legal challenges from the [[Justice Department]].<ref>''[http://www.economist.com/node/10837333 The Economist,]'' Mar. 20, 2008.</ref> [[Alice Rivlin]], Clinton's Budget Director whom he later appointed to the Federal Reserve, said it would make the banking system "operate better as a result."<ref>[http://www.frbsf.org/publications/community/investments/cra97-3/regy.html Regulation Y Revised - Changes to the Federal Reserve Application Process,] Community Investments, Volume 9; No. 3; Summer 1997, By Mike Johnson, Applications Officer, Federal Reserve Bank of San Francisco.</ref>
When Citibank sought federal approval for a merger with Travelers Group, it was only OK'd by the Clinton administration after it promised to provide $115 billion for Community Reinvestment Act "anti-redling" loans. Promises made by other financial institutions added up to $600 billion between 1993 and 1998, according to a 2000 Treasury Department report.<ref>[Subprime Bubble,] ''Investors Business Daily'', 09/04/2012. </ref>
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