CEO DATELINE - Banks, credit unions seek bipartisan commission for consumer protection bureau
CEO DATELINE - Banks, credit unions seek bipartisan commission for consumer protection bureau
- December 7, 2016 |
- Walt Williams
Consider joining CEO Update. Membership gives full access to the latest intelligence on association management, career advancement, compensation trends and networking events, as well as hundreds of listings for senior-level association jobs.
Four associations representing two longtime financial industry rivals—banks and credit unions—have joined together to ask congressional leaders to establish some oversight of a common enemy: the Consumer Financial Protection Bureau.
CFPB was created by Congress in the wake of the 2008 economic crash to protect consumers from financial industry practices that critics say helped bring about the crisis in the first place. The bureau has frequently infuriated banks and credit unions during its short existence, with one major complaint from the industry being the agency lacks appropriate oversight.
While some conservative Republicans have advocated abolishing the agency, four financial industry groups recommended a less radical solution in a letter sent to Senate leaders Wednesday. They are proposing the establishment of a five-person, bipartisan board to govern CFPB.
"The CFPB is an independent regulatory agency that provides the sole director unprecedented authority over financial institutions, with minimal oversight," the groups said. "As the sole decision maker, the director can promulgate regulations and levy enforcement actions that have sweeping and long-lasting effects on credit availability for consumers."
"The 115th Session of Congress can bring certainty to consumers by passing legislation that would establish a commission and make needed changes to the many rules and regulations the Bureau has or will consider," the groups added.
The Consumer Bankers Association, Credit Union National Association, Independent Community Bankers of America and National Association of Federal Credit Unions signed the letter. http://bit.ly/2gkFmKk
MORE CEO DATELINE