WASHINGTON, July 11 (Reuters) - Christy Goldsmith Romero

was pressed Thursday on whether she has the experience to

overhaul the scandal-hit Federal Deposit Insurance Corporation

(FDIC) and oversee the nation's banks when she appeared before

the Senate.

Beyond safeguarding deposits and supervising banks, the FDIC

is a key player in rule-writing efforts that would impose new

guardrails on banks and their executives, including contentious

new capital hikes. Getting Goldsmith Romero confirmed before the

November presidential election could cement Democratic

leadership at the agency for years to come and ensure those

rules are implemented.

A Democratic member of the Commodity Futures Trading

Commission, Goldsmith Romero was nominated by President Joe

Biden last month to replace Martin Gruenberg, who is stepping

down as FDIC chair after a probe found widespread sexual

harassment and other misconduct at the bank watchdog.

While praised by Democrats for her lengthy career in

financial services, Republicans were quick to highlight her

light experience on bank supervision specifically.

Senator Tim Scott, the top Republican on the Senate

Banking Committee, said he worried she lacked the expertise to

lead the agency and also fix its employee mistreatment issues.

"The next chair needs to be prepared to lead," he said.

"Correcting the culture at the FDIC is so important, and makes

it challenging to have on the job training."

In prepared testimony, she promised a "complete overhaul" of

the agency's culture, adding she would bring "accountability" to

the watchdog.

Senators are expected to question Goldsmith Romero on how

she will fix the FDIC's cultural issues, handle the "Basel"

capital hikes and rules on bank debt and banker pay, and whether

she has sufficient bank supervisory expertise, analysts said.

"Commissioner Goldsmith Romero has little experience in

banking regulation, so the hearing will be the first opportunity

for industry stakeholders, including bank investors, to hear her

views on regulation," Brian Gardner, Stifel Chief Washington

Policy Strategist, wrote in a note this week.

Investors and regulators continue have concerns about the

health of the country's regional banks which have been squeezed

by high interest rates that contributed to three bank failures

last year. She may be asked about the agency's handling of that

crisis, as well as recent troubles at fintech companies which

partnered with FDIC-regulated banks.

An attorney with a background in enforcement who previously

oversaw a 2008 crisis bank bailout program, Goldsmith Romero is

backed by Democratic progressives but is generally seen as a

non-contentious pick and has influential supporters in

Republican circles, Reuters reported. She was unanimously

confirmed by the Senate twice before.

"Goldsmith Romero's no-nonsense, nonpartisan, inclusive,

rigorous, and data-driven leadership style that holds people

accountable is also exactly what the FDIC needs," Dennis

Kelleher, CEO of Better Markets, a Washington group that

advocates for stricter regulations, said in a statement.

Sherrod Brown, the Democratic chair of the Banking

Committee, praised her in his opening remarks, saying her record

shows she can hold people and banks accountable.

Nominees need 51 votes to be confirmed in the evenly divided

Senate where Democratic Vice President Kamala Harris can break a

tie. But with contentious issues on the table and hardline

Republicans vowing to oppose Biden nominees to protest former

President Donald Trump's conviction in May, some analysts expect

the process could drag on.

"The question is whether the Republicans try to peel off a

couple of Democrats against her," Ian Katz, a managing director

at Capital Alpha Partners wrote in an email to Reuters.

"They won't vote for her, but that's not the same as going

all out to stop her."

Notably, Goldsmith Romero was introduced with heavy praise

by Senator Mark Warner, a moderate Democrat from Virginia.

Kristin Johnson, another Democratic CFTC Commissioner, and

Caroline Crenshaw, a Democratic member of the Securities and

Exchange Commission, will also testify at the Thursday hearing.

Biden nominated Johnson to be the Treasury Department's

assistant secretary for financial institutions, and renominated

Crenshaw to her role as SEC commissioner.

Johnson declined to comment, while Crenshaw's office did not

immediately respond to a request for comment.

(Additional reporting by Christine Prentice, and Douglas

Gillison, Editing by Nick Zieminski)