Warner says $50 billion fund still in play

On the bailout fund issue, he is open to other suggestions including making the fund smaller so "there's at least some operating capital" while protecting taxpayers from paying for a bailout. 

"What you don't want to have is what you had with Lehman where you have a imminent collapse and there's no process in place to kind of unwind the firm in an orderly way," he said. 

Warner said while everyone involved agrees that stronger consumer rules are needed, he and others want to ensure that community banks don't have two regulators.

On derivatives, Warner said he agrees that the over-the-counter derivatives market must be used to hedge market risks but "we've got to have a limit when, sometimes, these instruments are used in an abusive way."