Press Releases

Many banks and credit unions continue to charge abusive fees on debit cards and checking accounts, according to a new report by the Center for Responsible Lending. "High-Cost Overdraft Practices" finds that, in spite of regulatory changes in recent years, consumers paid more than $16 billion in fees during 2011, many triggered by manipulative banking practices. Debit cards carry fees that are the most disproportionate to the amount of the overdraft, even though banks and credit unions can simply decline these transactions without charging any fee at all. Some financial institutions do decline

For years many banks and credit unions have manipulated the order of debit and checking transactions to trigger more overdraft fees. In spite of consumer complaints, media attention and costly litigation, some financial institutions persist in this practice. We commend Senator Sherrod Brown for proposing a bill that would stop this sleight-of-hand trick once and for all.Not all banks and credit unions engage in reordering manipulation, but the practice remains widespread. Unfortunately, those that resist responsible and ethical practices undermine the American public's trust in all of our

Today marks an historic moment. After two years of a roller coaster ride following hard-won reform, Director Richard Cordray has been confirmed. The nation now has a fully empowered Consumer Financial Protection Bureau and can fully focus on the job Congress asked it to do three years ago. As businesses compete under the same set of rules, working families will receive fair financial services.We celebrate this great achievement and look forward to working with the Director to bring overdue relief to families who have dealt with abusive financial practices for far too long. ## For more

The American dream of homeownership strengthens families, communities, and our nation as a whole. Housing is also a major contributor to the American economy. Before our nation's economy can become strong again, our housing market must become robust. We are concerned that The Protecting American Taxpayer & Homeowner Act fails to provide a path forward to a strong housing finance system. Rather, it removes critical assistance that has helped tens of millions of homebuyers to receive affordable, fixed rate mortgages; preserved home values and helped the overall economy. This bill would mean more

Senators Bob Corker (R-TN) and Mark Warner (D-VA) have introduced legislation to reform the nation's housing finance system that rightly recognizes the importance of having a government backstop to private capital. This is essential to providing ample liquidity and support for 30-year, fixed rate mortgages. Any mortgage finance legislation that does not include a full government backstop will fall short of true reform.The legislation attempts to advance broad access to mortgage credit. However, it includes a five percent down payment requirement, which is a restriction that will do more harm

We are pleased the Consumer Financial Protection Bureau (CFPB) has begun an extensive analysis of bank and credit union overdraft programs. Overdraft fees—many of them encouraged and generated through unfair and deceptive practices—cost consumers billions of dollars each year. Overdrafts are a particular problem when consumers use a debit card to make purchases or withdraw cash from ATMs. The CFPB report shows that requiring banks and credit unions to secure a consent form before charging customers overdraft fees on debit cards—the so-called "opt-in"—has not stopped unfair practices and is not

The final rules issued today by the Consumer Financial Protection Bureau strike the right balance: they safeguard consumers from abusive practices while helping lenders comply with new mortgage lending standards. The rules address two key issues related to the Dodd-Frank Act's mandate that lenders assess a borrower's ability to repay, particularly the standards a loan must meet to qualify as a "Qualified Mortgage." First, they properly prohibit mortgages with higher fees from gaining Qualified Mortgage (QM) status. Second, they tailor the QM standards for small lenders who hold mortgages in

Data released earlier today by HUD shows that the National Mortgage Settlement has brought more than $50 billion in principal reduction and savings to over 620,000 homeowners. Principal reductions and refinancing savings represent 60 percent of the total dollar amount. These savings show this negotiated agreement between the largest banks and state Attorneys General and the Administration is a strong move in the right direction. It provides meaningful relief to homeowners, even though it is not a cure-all for the foreclosure crisis. We look forward to the Monitor's upcoming report on

As the nation struggles to rebuild the housing market and broader economy, the White House's nomination of Rep. Mel Watt to head the Federal Housing Finance Agency (FHFA) is encouraging. Rep. Watt has been in Congress for twenty years, ably serving on the House Financial Services Committee. He was one of the first elected officials to warn about the dangers of subprime lending, offering legislation to nip predatory lending in the bud, and tirelessly advocating for ways to prevent needless home foreclosures. Watt brings to FHFA an ability to work with a variety of stakeholders, with many

Joint Statement by the following: Orson Aguilar, Executive Director, The Greenlining Institute Laura Berry – Executive Director, Interfaith Center on Corporate Responsibility Becky Bond – Political Director, CREDO Michael Calhoun – President, Center for Responsible Lending Lisa Donner - Executive Director, Americans For Financial Reform Tom Feltner - Director of Financial Services, Consumer Federation of America George Goehl - Executive Director, National People's Action Alisa Gravitz - President and CEO, Green America Wade Henderson – President and CEO, Leadership Conference on Civil and