First Year Experience: Illinois Multibanks Shop Carefully
Financial Economics
Law and Economics
Urban, Rural, Regional, Real Estate, and Transportation Economics
Many independent bankers in Illinois thought that their worst fears were being realized when Governor James Thompson signed the multibank holding company bill (Public Act 82-1 ) into law on July 3, 1981. For years, these independent bankers had battled multibank banking proponents, even to the point of splintering one, statewide banking trade group, to protect independent unit banking and avert the perceived threat of being swallowed up by the big Chicago banks. But, in the first year after the bill became effective on January 1, 1982, Illinois' bank holding companies (BHCs) did not deluge regulators with holding company applications. The changes in the Illinois banking industry have been, so far, orderly and evolutionary. The trade groups have mended their fences and reunited.