WASHINGTON (AP) - The top Republican on the Senate Banking Committee has unveiled legislation that would ease regulatory requirements on mid-size banks. It would also give lenders the option for greater freedom from mortgage lending rules.

WASHINGTON (AP) The top Republican on the Senate Banking Committee has unveiled legislation that would ease regulatory requirements on mid-size banks. It would also give lenders the option for greater freedom from mortgage lending rules.

The legislation by Alabama Sen. Richard Shelby would be the most ambitious rewrite of rules governing the financial services sector since Democrats passed the groundbreaking Dodd-Frank law when controlling Congress in 2010.

The bill would lift the asset threshold for banks considered "too big to fail" from $50 billion to $500 billion, giving regulators flexibility to exempt them from tougher capital requirements and stricter oversight. It would also give mortgage lenders flexibility to avoid lending standards put in place after the 2008 financial crisis so long as they hold onto riskier loans rather than selling them.