Office of Thrift Supervision (OTS)
Contents
Unveiling the Office of Thrift Supervision (OTS): Past, Present, and Impact
Explore the history and significance of the Office of Thrift Supervision (OTS), a former bureau of the U.S. Treasury Department tasked with regulating the savings and loan industry. Delve into its functions, role in the aftermath of the savings and loan crisis, and eventual merger with other regulatory agencies.
Understanding the OTS
Discover how the OTS played a crucial role in ensuring the safety and soundness of deposits in thrift banks through rigorous auditing and enforcement of government regulations. Learn about its establishment as the successor to the Federal Home Loan Bank Board and its oversight of federal and state-chartered thrift institutions.
How the OTS Worked
Gain insight into the formation of the OTS in response to the savings and loan crisis of the 1970s and 1980s, characterized by widespread financial instability and the collapse of numerous thrift institutions. Explore the regulatory measures implemented by the OTS to address insolvency and enforce stricter guidelines on thrift banks.
The Evolution of Thrifts
Understand the role of thrifts, including savings and loans associations, credit unions, and mutual savings banks, in the financial landscape. Learn about their distinct characteristics, focus on housing-related assets, and membership in the Federal Home Loan Bank System.
Facts to Consider:
- The OTS was established in 1989 as the primary federal regulator of savings institutions following the savings and loan crisis.
- The OTS merged with other regulatory agencies in 2011, including the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation.
- The number of thrift banks declined significantly from nearly 4,000 in the 1980s to less than 1,000 in 2018.