Changes in the financial regulations of banks specifically abolishing previous restrictions from using deposits for speculative investments will make loaning money obsolete and unprofitable. As part of TARP and the financial recovery acts passed last year, bank holding companies are no longer restricted from using deposited funds to trade. Furthermore, the FDIC is insuring their bets. If you are a trader/banker with access to deposited funds at a cost of 3% a year and the additional benefit of the FDIC insuring your losses. Would you A: Use the deposited funds to loan money out at prime + 2%-5%. or B: Use the deposited funds and trade large with no risk? The bankers are going to make a fortune either way and the ones that blow out will be on the FDIC's dime.