Join us on May 21st for an analysis and discussion of the important developments in the regulation and supervision on big banks, and their effects on financial security and economic stability. View the details here, or below.
Americans for Financial Reform and the Center for Responsible Lending hosted a press call today with leading experts to discuss two ongoing lawsuits concerning the CFPB director and the administration’s attempts to destroy the CFPB’s independence.
The notion that this administration is or will be tough on Wall Street doesn’t pass the laugh test, and that fact is evident in deeds, not tweets. Trump has put Goldman Sachs executives in the most senior positions in the government, and pushed for a giant tax cut for Wall Street.
“Marcus Stanley, policy director for Americans for Financial Reform, expressed concern about the report’s guidance. ‘The recommendations are “almost uniformly deregulatory.’ he said. ‘It is written pretty technically, but what they are saying is that a lot of things that were done after the crisis to try increase our safety margins and improve our risk control on derivatives they want to cut back on.’”
“Americans for Financial Reform… noted that the [Treasury] report followed recommendations from The Clearing House, a powerful trade association, in 31 out of 40 specific cases. In some instances, the language of the government and the language of the lobbyists was hard
to tell apart… ‘We’ve reached a point in this administration when big banks and private-equity funds have placed so many people in the top jobs, they hardly need to worry about lobbyists and trade associations any more,’ says Jim Lardner, a senior fellow at AFR”.
“Dodd-Frank is not perfect. For one thing, it is overly complex. And there are worthy reform alternatives that have been put forward that rely less on specific regulations and more on increased capital requirements and structural changes to separate traditional banking from speculative investing… The Treasury report has none of those proposals’ analytical rigor. Rather, it is designed to please the banks. Americans for Financial Reform, a watchdog group, plans to release a paper showing that the Treasury review endorses almost two-thirds of specific deregulatory requests submitted to the Treasury in May by the Clearing House Association, a big bank lobby.”
The Department of Labor’s proposal to delay the fiduciary rule is clearly part of the Trump administration’s plan to undo it altogether. Blocking this common-sense, long overdue rule, which requires retirement advisers to act in their customers’ best interests.
“‘The administration apparently plans to turn over financial regulation to Wall Street titan Goldman Sachs, and make it easier for them and other big banks like Wells Fargo to steal from their customers and destabilize the economy,’ said Lisa Donner, executive director of Americans for Financial Reform, an advocacy group that supports Dodd-Frank. ‘That betrays the promises Trump made to stand up to Wall Street, and it will have dire consequences if he’s successful.’”
“The Administration apparently plans to turn over financial regulation to Wall Street titan Goldman Sachs, and make it easier for them and other big banks like Wells Fargo to steal from their customers and destabilize the economy. That betrays the promises Trump made to stand up the Wall Street, and It will have dire consequences if he’s successful. But the President does not have the authority to overturn laws or tell independent agencies what to do. And it’s flat-out illegal for the agencies to change rules by fiat without public input.”