Finance
House Financial Services Committee leaders eye AI regulatory push
Top lawmakers on the House Financial Services Committee are using the stretch run of this congressional term to address the impact artificial intelligence has on the finance and housing sectors.
Reps. Patrick McHenry, R-N.C., and Maxine Waters, D-Calif., the chair and ranking member of the committee, respectively, announced Monday the introduction of a resolution to acknowledge the rising use of AI in financial services and in the housing industry, as well as a bill that calls on financial regulatory agencies to study the benefits of the technology within the sector.
The resolution and bill are the culmination of nearly a year of work from the committee’s bipartisan AI working group and come just days before a hearing that will explore how the technology is framing the future of finance.
“Artificial intelligence holds the promise to revolutionize our financial system,” McHenry said in a statement. “As firms increasingly leverage AI, lawmakers and regulators tasked with oversight of the financial services industry must constantly evaluate the risks and benefits this technology poses. These bills are a small, but critical, step forward to empower the financial system to realize the numerous benefits artificial intelligence can offer for consumers, firms, and regulators.”
The resolution, introduced by McHenry and co-sponsored by Waters, spells out the House Financial Services Committee’s responsibilities when it comes to AI, covering everything from how housing market participants leverage the technology for underwriting and tenant screening to scrutinizing how financial institutions’ use of AI could increase herding behavior in the markets.
The committee, McHenry and Waters write in the resolution, will make sure financial regulatory agencies are carrying out their enforcement powers and have the right tools to do so as AI usage in the sectors proliferates. They’ll also consider reforms to data privacy laws “given the importance of data, especially consumer data, to AI,” collaborate with regulators on AI’s impact on the workforce and do what they can to make sure the United States leads globally on the development and use of AI in the industries.
“Artificial intelligence is growing rapidly, and people across America are already seeing its use in our nation’s housing and financial services sectors, with impacts on mortgage lending, credit scoring, and more,” Waters said in a statement. “Our committee will continue to collaborate closely with the federal government to identify the risks and benefits of AI and to explore further legislation needed to protect people and our communities.”
The Analysis and Improvement Act of 2024 — or the AI Act of 2024 — would require the Federal Reserve, the Federal Deposit Insurance Corp., the Office of the Comptroller of the Currency, the Consumer Financial Protection Bureau and the National Credit Union Administration to deliver a report to the House Financial Services Committee that examines a variety of AI-related issues in the agencies’ respective sectors.
Those issues include the use of AI in home valuation, loan underwriting and servicing, how banking institutions use AI to identify fraud, money laundering and cybercrime, and how AI is used in debt collection and foreclosures. There are also callouts in the bill for how AI can mitigate bias and discrimination in banking services, how the technology can level the playing field between small and large financial institutions, and how it can benefit cybersecurity risk management.
The bill would also require the Securities and Exchange Commission to produce a report on AI’s risks and benefits to the markets and have the Treasury Department study the technology’s ability to secure the country’s financial system from national security threats.
Another provision of the bill calls on the Department of Housing and Urban Development, the Federal Housing Finance Agency, the Rural Housing Service of the Department of Agriculture and the CFPB to report on the risks and benefits of AI on housing and mortgage regulators.
“I look forward to passing these bills and continuing to work in a bipartisan manner on this important issue next Congress,” Waters said.
US-based bank holding company First Financial Bancorp has completed its previously announced acquisition of Westfield Bancorp and its subsidiary, Westfield Bank.
In June, First Financial agreed to acquire Westfield Bancorp from Ohio Farmers Insurance Company in a cash-and-stock deal valued at $325m.
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
Find out more
With the addition of Westfield Bank, First Financial’s total assets now stand at $20.6bn, strengthening its presence in the Midwest region of the US.
The acquisition is said to expand First Financial’s commercial banking and wealth management services in Northeast Ohio.
Westfield Bank’s retail locations and related services will now operate as part of First Financial’s network.
These branches will retain their current branding until the completion of conversion process, which is expected to occur in March 2026.
The conversion will merge the two banks’ products, processes and operating systems.
Westfield Bank clients will continue to receive services through existing channels, and will receive information about account conversions in the coming months.
First Financial president and CEO Archie Brown said: “This is an exciting step in the growth of First Financial, as the addition of Westfield Bank opens new possibilities for growth and profitability for us in an attractive market.
“We can now bring our wide range of solutions in consumer, commercial, specialty lending and wealth management to new clients, while expanding our geographic footprint for our current clients.
“The First Financial team is thrilled to welcome the Westfield Bank team members to the First Financial family.”
The transaction follows First Financial’s recent expansion activities in the Midwest.
In 2023, the company established a commercial lending presence in Northeast Ohio.
Earlier this year, First Financial announced BankFinancial, the parent company of BankFinancial, National Association, in Chicago, Illinois.
Furthermore, the company has also established a commercial banking presence in Grand Rapids, Michigan.
Sign up for our daily news round-up!
Give your business an edge with our leading industry insights.
Hezbollah and Hamas thrive on shadowy financial networks-charities, trade deals, crypto wallets. But every transaction leaves a trace and AI can spot the patterns no human ever could.
Finance
The New Hampshire Business Finance Authority honors lenders at the 5th annual Granite State Awards
Nevada6 minutes ago
A tribe in Nevada finally had funding for climate resilience. Then a grant was ripped away
New Hampshire11 minutes ago
N.H. municipalities required to provide accessible voting systems for people with disabilities – The Boston Globe
New Jersey21 minutes ago
Election Day 2025 is underway in Pa. and N.J. Here’s what to know
New Mexico31 minutes ago
New Mexico Lottery Powerball, Pick 3 Day results for Nov. 3, 2025
North Carolina41 minutes ago
North Carolina FC tells players it won’t field a team in 2026 USL Championship season
Florida1 year ago
Florida High School Football Rankings: Top 25 teams – Oct. 21
Oregon2 years ago
How old is Bo Nix? What to know about Oregon quarterback ahead of 2024 NFL Draft
Connecticut2 years ago
Cleary's 21 help Le Moyne down Central Connecticut State 69-64 in OT
Virginia1 year ago
99th annual Pony Swim held in Virginia
Education1 year ago
Video: ‘It Didn’t Have to Happen This Way:’ U.Va. Faculty Call for Review of Police Response to Protests
Politics6 hours ago
Over one month into government shutdown and no end in sight – but predictions run rampant
World8 hours ago
Two dead as Typhoon Kalmaegi brings massive flooding in central Philippines
News9 hours ago
Trump Backs Cuomo, Threatens NYC Funds If Mamdani Wins – The Source with Kaitlan Collins – Podcast on CNN Podcasts
News23 hours ago
Video: The Nationwide Battle Over Electoral Maps
Politics1 day ago
Trump backs ICE raid tactics, says they ‘haven’t gone far enough’
-
Milwaukee, WI7 days agoLongtime anchor Shannon Sims is leaving Milwaukee’s WTMJ-TV (Channel 4)
-
News1 week agoWith food stamps set to dry up Nov. 1, SNAP recipients say they fear what’s next
-
Alabama1 week agoHow did former Alabama basketball star Mark Sears do in NBA debut with Milwaukee Bucks?
-
News1 week ago1 dead, 6 injured in shooting at Lincoln University homecoming festivities
-
Austin, TX1 week agoDia De Los Muertos Austin: Parades, Altars & Events
-
Culture1 week agoVideo: Tyler Mitchell Breaks Down Three Photos From His New Book
-
Culture5 days agoVideo: Dissecting Three Stephen King Adaptations
-
Seattle, WA7 days agoFOX 13’s Aaron Levine wins back-to-back Jeopardy! episodes