NEW YORK, July 19, 2010 -- Since it became clear that the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 would be enacted, much has been written about how attention now turns to the regulators for the issuance of more than 200 separate sets of regulations that are mandated by the new law.
On Friday, the day after the bill passed, Bank of America (BAC) warned that the financial overhaul legislation could cost it as much as $4.3 billion a year in lost revenue, plus a one-time charge of $7 billion to $10 billion.
Although other major banks reporting earnings on Friday, including J.P. Morgan Chase (JPM) and Citigroup (C) did not disclose details of how the bill would affect them, Bank of America's pronouncement was interpreted as an indicator that banks with significant exposure to the U.S. consumer market will face larger-than-expected costs from financial regulation. Read More