Our nation's economic upheaval is ending slowly, but some lawmakers have forgotten its lessons quickly—witness the vote today to weaken the Consumer Financial Protection Bureau (CFPB) by a U.S. House of Representatives subcommittee.
The Financial Crisis Inquiry Commission and other experts place much of the blame for the calamity on federal regulators who failed to protect our banking system and consumers, permitting abusive financial products and practices to dominate the market. Now, even though the CFPB won't be implemented until July 2011, some lawmakers already are trying to severely weaken it and return its power to the same regulators who brought us the financial meltdown.
We've seen the results of this "business as usual" approach: hundreds of failed banks, millions of lost jobs, millions of lost homes, and trillions of dollars in lost family and national wealth. Policies that put us back on that path are no solution.
A key to restoring our economy—and American families—is a strong, independent CFPB. By promoting a fair and transparent financial marketplace, the CFPB will help increase consumer confidence and the demand for products so vital to creating jobs. Weakening the CFPB opens the door to more financial abuses, more economic meltdowns, and more taxpayer bailouts.
Two choices; two different outcomes. We hope Congress chooses wisely.
For more information: Kathleen Day at (202) 349-1871 or kathleen.day@responsiblelending.org; Ginna Green at (510) 379-5513 or ginna.green@responsiblelending.org; or Charlene Crowell at (919) 313-8523 or charlene.crowell@responsiblelending.org.