The Halting Uncertain Methods and Practices in Supervision (HUMPS) Act, introduced by Rep. Scott Fitzgerald, passed the House Financial Services Committee late last month with bipartisan support.
The bill, which now awaits consideration by the full House of Representatives, would reform the way in which banks are rated. "The HUMPS Act brings much-needed transparency and accountability to the bank rating process," said Fitzgerald. "The CAMELS rating system has a real impact on how banks operate — but right now, it gives regulators too much room to apply double standards. This bill ensures that supervisory ratings are based on transparent, quantifiable metrics, not political bias or personal opinion. It’s a necessary step to prevent debanking by removing subjectivity from banking oversight."
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