Even if a financial institution rejects an initial application by an individual using a synthetic identity, credit bureaus create a record from the transaction based on the fraudulent credentials. Consequently, the record can be used repeatedly by a fraudster to establish a fake identity used to commit financial and other types of fraud.

Prior to the 2008 recession, many financial institutions were engaging in 'proprietary lending,' where a bank would invest funds for its own gain instead of earning revenue through commission by trading on behalf of clients.

Some of my colleagues are unwilling to vote for any Dodd-Frank reforms, partly out of the political fear that any reforms will be seen as reducing regulations on the financial sector.

Seth Moulton Quotes