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@ Miguel Afonso Caetano
2025-02-11 11:02:39
"Sources tell the Prospect that industry trade groups are alarmed at the rapid dissolution of the CFPB, which puts things in a far more uncertain state than before it was established in 2010. Even regulated industries acknowledge that CFPB contributed to the smooth functioning of markets that could easily break in its absence.
“If there’s no point person, the rules are frozen in time, it’s not good for anyone,” said one former CFPB official who now works with companies in the private sector and asked for anonymity to discuss the matter. “I’m not even talking about the consumers here. Just for the industry, it’s not a good answer.”
So far, this has mostly not been articulated by corporate groups, though this is changing. Phil Goldfeder, chief executive of the American Fintech Council, told Politico’s Morning Money, “When you tear it all down, you potentially lose what had been good regulatory policy … When operated correctly and bereft of ideological drive, the CFPB could be a valuable tool for responsible regulation.”
What counts as “responsible” regulation from industry is different than the consumer perspective. But behind the scenes, financial firms realize that America with consumer protection laws but no federal agency to manage them could be really bad for business.
ALL OF THE LAWS CFPB OVERSEES are statutory and still in place. Without the agency in charge of them operating, key activities will go dark, including activities industry needs to have done."
https://prospect.org/economy/2025-02-10-even-bankers-dont-want-to-delete-cfpb/
#USA #Trump #Musk #CFPB #Banking #Finance #ConsumerProtection