CFPB | The War Over Consumer Financial Protection Intensifies

The war over consumer financial protection intensifies

A series of bills aimed at watering down the Consumer Financial Protection Bureau will be up for vote this week. What’s a consumer agency that can’t protect?

by Abigail Field, contributor

FORTUNE — An obscure but extremely important political war is being fought in Washington right now over the design and power of the Consumer Financial Protection Bureau, the new agency created in the wake of the financial meltdown to protect consumers and help prevent another financial crisis.

Either the banks will win or the American people will win. It’s impossible for both stakeholders to declare victory.

The fight will only get more interesting if Elizabeth Warren, currently the special adviser in charge of the agency, gets the nod from President Obama run it, as is expected. It’s worth noting that if this agency had existed before the housing bubble, we would have most likely avoided the worst of it and the financial meltdown it triggered. If the pending bills designed to weaken the Consumer Bureau become law, the Bureau would have been powerless to help. Although many factors fed the crisis, the “but-for” cause was the millions of mortgages that never should have been made during final years of the housing bubble. Those mortgages fraudulently pushed home prices into the stratosphere and filled many of the securities that so quickly turned to junk. The Consumer Bureau could have prevented those loans from being made.

Check out the rest at Fortune here…


11 Responses to “CFPB | The War Over Consumer Financial Protection Intensifies”
  1. Steve says:

    Every state and federal agency over look the mortgage fraud before and after the crisis. My lender to this day with the title company refuse to show any signed financial related docs since the loans origination.The fraudulent contract stole my savings and home. Construction is wiped out in residential. And we need to have debates over a consumer protection agency. What did you want me to do? Hold a sign that says, ” Will work for food and does anyone know were I can find a good lawyer?”

    • Fury says:

      just do your best as a Pro Se (self-representing). if you can’t find a lawyer, ask your local court house Pro Se office to help you file the motions that you need to protect your home.

      this site and lisa epstein’s website
      can instruct you
      they have helped us in so many ways.

      good luck to you.

      • Steve says:

        Sorry Fury if I misinterpreted my post. My home was stolen in 2009. The lender played loan doc. games saying we are not the bankrupt loan originator when they really were. Legal-aid didn’t have a clue to what was going on. At the time they said these web-sites and note were all scams.

        I had gotten took by a fake lawyer group who did nothing. Plus lawyers said it would cost a fortune to go after mortgage fraud. You name the state or federal agency and I’ve been there. I even went as far as contacting my district attorney who said they’d look into it but wasted a year only to say the Title Escrow agent wants a subpoena just so I can see the original loan docs that I signed. Plus, even if I did manage to gather record, they said they probably would not proceed since I am one complaint.

        My lender would play passive stupid games to all my inquiries such as, “Oh, you did not sign the complaint. It is not legal. Therefore we did not respond.” Or “We don’t have to show you any original financial records. It is our right.” What part of the Homeowners Disclosure Protection Act excuses them of any rights?

        This crap has been going on for years. I’m just showing by example the major need for the consumer protection bureau. Thanks

  2. Recall Sen. Jim DeMint (R-SC) it is clear that this politician is not with the American people an should be force to resign

  3. Fury says:

    and they mock elizabeth warren because she comes to work w/ a backpack.

    geithner and bernanke have misspent trillions of our dollars.

    homeowners demand full restitution for being defrauded by the banks that geithner and bernanke are constantly baliling out.

    we deserve the money and we will get it!

  4. Fury says:

    resign tim geithner. you have been a disaster for the american consumer and most especially defrauded homeowners.
    but before you pack it in, can i get some TALF money?

  5. l vent says:

    God forbid anything is done to protect the consumer. The entire ongoing Ponzi Scheme might just have to go back to HELL, where it came from.

  6. Does anyone really believe the financial disaster would have been averted if CFPB was around 10 years ago? That is a tough pill to swallow.

  7. MARIO KENNY says:

    Ding Dong, I riding my donkey to the center of town, I hear that all the local clowns are gathering for a pow wow, I am going to sell my other dead donkey to the highest bidder. Now you may ask,” what will anyone do with a dead donkey? ” well the answer is keep selling it.

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