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Posts Tagged ‘Consumer Financial Protection Bureau’
July 24th, 2017 at 5:57 pm
CFIF Joins Coalition Urging Congressional Reversal of CFPB’s Anti-Arbitration Rule

The Center for Individual Freedom (CFIF) today joined a coalition made up of more than two dozen free-market organizations on a letter urging Congress to use the Congressional Review Act to reverse a new rule by the Consumer Financial Protection Bureau (CFPB) that prevents financial services companies from using arbitration to resolve customer disputes.

“The CFPB’s arbitration rule has been described as ‘Christmas in July’ for America’s trial lawyers – and rightly so,” the coalition stresses in the letter.  “According to the CFPB’s own finding, the rule will cost consumers billions of dollars and unleash over 6,000 class action lawsuits every five years. This rule is an obstacle to the efforts to right America’s fiscal ship and create jobs and prosperity for the American people.”

The letter, which was organized by the Center for Freedom and Prosperity, can be read in its entirety here (PDF).

Read the Center for Freedom and Prosperity’s official press release here.

July 6th, 2012 at 4:10 pm
Eliminating Dodd Frank Bureau Takes a Small Step Forward

If Republicans win control of Congress and the White House in November, expect conservatives to zero in on trying to eliminate the Consumer Financial Protection Bureau.

Created by the Dodd-Frank legislation, CFPB is largely exempted from congressional oversight because it is housed in the unaudited Federal Reserve.  It’s also able to self-fund through fees it sets and assesses on financial institutions.

But though it’s technically an independent agency, CFPB is turning out to be – surprise! – remarkably in synch with the Obama campaign’s anti-capitalist positions.

Piecing together several months-worth of visitor logs, Mary Kissel at the Wall Street Journal presents strong circumstantial evidence of improper coordination between political branch officers and supposedly neutral bureaucratic administrators.

CFPB chief Richard Cordray has been to an Obama cabinet strategy session.  He briefed the press about student loan policy alongside White House Press Secretary Jay Carney and Education Secretary Arne Duncan.  He’s also held calls with the White House Chief of Staff for Policy.  His subordinates are in frequent contact with White House advisors.

Conservative opponents of CFPB’s unprecedented powers and structure like Rep. Patrick McHenry (R-NC) are taking notice.  McHenry sent a letter requesting more details from CFPB officials about its working relationship with the White House.  Though that may seem quaint, remember that Darrell Issa’s investigation of Fast and Furious has largely proceeded by letters of inquiry met with silence, denials, and ultimately admissions.

Kissel puts the process into perspective:

Rep. McHenry’s requests will, in all likelihood, be stonewalled too. But that doesn’t mean that the Congressman’s letter is a waste of time. The 2010 Dodd Frank law gave the consumer bureau an unprecedented—and perhaps even unconstitutional—immunity from traditional checks and balances. If Republicans win a Congressional majority come November and want to eliminate the agency, they have to start demonstrating now to the public why that’s necessary. Letters like Rep. McHenry’s are a good start.

It’s good to know someone is doing the yeoman’s work of reining in a small but important part of the federal bureaucracy.  If McHenry’s letter helps build a case for dismantling CFPB, conservatives will be thanking him for taking steps like this.