Survey form FR 2060 is used in the collection of information from consumers and small businesses to determine whether they generally rely on local providers of financial services or obtain services from a broader geographic area such as a state or the entire country. The survey is conducted by telephone.
Purpose: The survey questions are designed to assess the extent to which nonbank and nonlocal financial services are used by or offered to small businesses and consumers. The main objective of the questions is to determine the importance and influence of nonbank and out-of-area sources of credit and deposit services. The Federal Reserve uses the information to define relevant banking markets for specific merger and acquisition applications and to evaluate changes in competition that would result from proposed transactions.
Under the Bank Holding Company Act of 1956 [12 U.S.C. 1841 et seq.], the Bank Merger Act of 1960 [12 U.S.C. 1828(c)], and the Change in Bank Control Act of 1978 [12 U.S.C. 1817(j)], the Federal Reserve is required to evaluate merger and acquisition applications by bank holding companies to determine the effects of proposed transactions on competition. The standards of the antitrust laws, specifically section 7 of the Clayton Act, must be applied. If a merger may substantially lessen competition or tend to create a monopoly, the Federal Reserve may not approve the merger. Survey form FR 2060 was implemented in 1987 to gather empirical evidence to assess the geographic scope of banking markets in specific situations. The Federal Reserve conducts the FR 2060 survey only in those cases in which a potentially serious competitive issue arises, as determined through economic analysis.
A sample of consumers and small businesses. Participation is voluntary.