Key Elements of the Obama Financial Overhaul

Here's a look at key parts of the Obama administration's financial overhaul plan.

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CHANGES IN OVERSIGHT OF FIRMS

— Federally chartered banks would be overseen by a new national bank supervisor. This agency would be created through the merger of the Office of the Comptroller of the Currency and the Office of Thrift Supervision, which would be eliminated.

— Bank supervision would still be split among federal and state regulators.

— The Fed would gain power over big firms whose failures could traumatize the system. Previously unregulated hedge funds, private-equity firms and investment advisers would have to register with the Securities and Exchange Commission.

— All the regulators would force banks to keep more capital in reserve to offset risk. Regulators already are doing this, but the administration wants to make it law.

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NEW REGULATOR TO PROTECT CONSUMERS

— The administration would create an agency to oversee companies that lend to consumers. The Consumer Financial Protection Agency would oversee mortgage brokers, payday lenders and other companies that haven't been regulated before and add a new layer of regulation for banks. It would write rules for how credit is extended, which products are appropriate and which are too dangerous. The agency would take some power from bank supervisors and the Federal Trade Commission.

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BETTER WAY TO HANDLE FAILING INSTITUTIONS

— As large banks failed last year, officials turned to ad hoc solutions — injecting capital into banks, guaranteeing assets or supporting takeovers. The Obama administration wants more consistency. A new system would be based on the Federal Deposit Insurance Corp.'s practice of closing smaller failed banks by seizing and selling their assets.