After Massive Bank Fine, Congress Considers Bill to Gut Financial Reform
By Americans for Financial Reform
This week, the House Financial Services Committee will consider an extraordinarily dangerous bill that takes many of the worst ideas concocted by Wall Street lobbyists and their political friends and combines them into one toxic package.
The bill, the “Financial CHOICE Act” (H.R. 5983) is authored by House Financial Services Chairman Jeb Hensarling (R-TX-5), and it not only rolls back key portions of the Dodd-Frank Act, it also guts regulations that came before it. If passed, it would make financial regulation even weaker than it was even prior to the 2008 crisis. It also eviscerates the Consumer Financial Protection Bureau (CFPB) mere days after the CFPB fined Wells Fargo $100 million for widespread unlawful sales practices and ordered Wells Fargo to issue full refunds to all scammed customers. With banks continuing to abuse their own customers we need MORE accountability, not less.
The bill faces opposition from a diverse coalition of groups. 16 organizations including civil rights, labor, and consumer advocacy organizations joined an opposition letter led by Americans for Financial Reform. A wide range of public interest groups like Public Citizen and the Center for Popular Democracy, as did the Leadership Conference on Civil and Human Rights. In addition, because the bill repeals a part of Dodd-Frank known as the “Durbin amendment,” which limited fees charged to retailers for debit card processing, many business and retail groups have also opposed the CHOICE Act, with several noting that they will “key vote” this bill as it is considered in the Committee.
Here is a complete round-up of all letters of opposition to the Financial CHOICE Act:
CHOICE Act opposition letters from advocacy groups:
- Americans for Financial Reform, joined with 16 other organizations including the NAACP, UAW, and Main Street Alliance | September 12, 2016
- AFL-CIO | September 13, 2016
- Center for American Progress | September 13, 2016
- Consumer Federation of America | September 13, 2016
- Coalition Letter of 24 organizations opposing the CHOICE Act due to how it would undermine of the effectiveness of the CFPB’s consumer complaint database | September 13, 2016
- The Leadership Conference on Civil and Human Rights | September 12, 2016
- National Council of La Raza | September 12, 2016
- Center for Popular Democracy | September 12, 2016
- Public Citizen – Statement: “An Avalanche of Deregulatory Rubbish Threatens to Bury Dodd-Frank” | September 12, 2016
- Fair Arbitration Now coalition (Public Citizen, National Association of Consumer Advocates, American Association for Justice, Alliance for Justice, and more) – letter and statement | September 12, 2016
- Center for Responsible Lending | September 12, 2016
- Oped, TheHill.com by Senator Dick Durbin, “Jeb Hensarling’s big bank bonanza bill” | September 12, 2016
- National Community Reinvestment Coalition | September 9, 2016
CHOICE Act opposition letters from business and retailer groups:
- Coalition letter from 407 retailers opposing the repeal of the Durbin amendment contained in H.R. 5983 | September 6, 2016
- National Grocers Association – Independent Grocers Rally to Protect Debit Card Swipe Fee Reform | September 6, 2016
- Society of Independent Gasoline Marketers of America (SIGMA) | September 12, 2016
- National Association of Convenience Stores (NACS) – KEY VOTE: Oppose the Financial Choice Act, HR 5983 | September 12, 2016
- Retail Industry Leaders Association | September 12, 2016
- National Restaurant Association | September 12, 2016
- National Retail Federation – Letter and e-action urging opposition to any repeals of the Durbin amendment | September 12, 2016
- Oped, TheHill.com: “Merchants ask Congress: why tilt the scales against fair and free markets?” | September 13, 2016