U.S. authorities want big banks to set aside billions more in risk capital.

The Fed, FDIC, and OCC released the idea for public comment, which the banking industry lambasted.

Such a large increase could require them to eliminate services, raise fees, or both.

Fed Chair Jerome Powell supports the proposals but quickly outlined significant concerns.

The proposal’s leader, Vice Chair for Supervision Michael Barr, controls the Fed’s regulatory agenda.

Several officials wanted to improve the idea.

This is the first step in tightening bank monitoring.

A 2017 Basel Committee on Banking Supervision agreement would modify how banks analyze risk and how much reserves they must hold to cover losses.

The idea modifies bank lending, trading, and internal risk gauges.

Regulators think a consistent risk measurement approach will improve accuracy and capital.

Citizens Financial Group, Fifth Third, Huntington, and Regions will be most affected.U.S. regulators announced an ambitious plan Thursday to require giant banks to set aside billions more in capital to defend against risk, but the head of the Federal Reserve’s chilly response highlighted worries about how the plan might change.