On Thursday, the House of Representatives voted to pass legislation that would raise the threshold for banks that are considered to be too big to fail.

The Dodd-Frank Wall Street Reform and Consumer Protection Act applies stringent regulations to banks that have at least $50 billion in assets.

The intent of the Dodd-Frank provision is to provide a safeguard against systemic damage that would result from the failure of a massive financial institution.

Source: Mortgage Daily