When disaster strikes in this country, someone usually grabs the microphone to pronounce that Washington will step in with new programs to ensure “it” will never happen again. Such was the case five years ago this month with the passage of the Dodd-Frank Act, the voluminous legislation intended to supposedly ensure that there would never be a repeat of the 2008 financial crisis that gripped America.
The Consumer Financial Protection Bureau, through its 12 data-mining programs, collects and monitors information for nearly 600 million personal credit-card accounts on a monthly basis. The CFPB is gearing up to monitor 95% of all credit-card transactions by 2016 (more about this below).
Congressional lawmakers continue to push legislation to bring more accountability to the Consumer Financial Protection Bureau (CFPB), with several bills having already been introduced this year in efforts to achieve this. And now there is yet another proposed bill that seeks to further the cause.
Critics of the Consumer Financial Protection Bureau, the secretive, Obama administration-created agency that oversees the U.S. Justice Department’s Operation Choke Point, won a small but key victory this week.
Despite numerous objections from the mortgage finance industry and some basic reasoning that publishing unvetted, anonymous complaints on a government website could be problematic, the Consumer Financial Protection Bureau is moving ahead with its plan for opening its consumer complaint database to the public.
Last week the Consumer Financial Protection Bureau, through the power of Dodd-Frank, passed a rule giving the agency unprecedented power to shut down businesses, no matter what the reason, at any time it wishes through a cease-and-desist order. Further, the rule puts businesses at the mercy of the CFPB and they cannot go back into operation until government approval or a court ruling is made over an issue.