April 23, 2013 |
Payday loans often trap consumers in a cycle of debt, a new report by the federal government finds. The Consumer Financial Protection Bureau found that the average consumer took out 11 loans during a 12-month period, paying a total of $574 in fees - not including loan principal. A quarter of borrowers paid $781 or more in fees. "There is high sustained use - which we consider to be not only when a consumer rolls over the loan, but also when he pays it off and returns very quickly to take out another one," Richard Cordray, director of the bureau, said in a conference call with reporters Tuesday.
May 15, 2013 |
In requiring the U.S. Senate to confirm presidential appointments, the Constitution aims to ensure a second level of scrutiny of the qualifications of government officials. But Senate Republicans have hijacked the confirmation process, not only to thwart individual nominees but to undermine laws they don't agree with. If they continue in their obstructionism, Senate Majority Leader Harry Reid (D-Nev.) should revisit the possibility of doing away with the filibuster for nominations. The most immediate test case involves the National Labor Relations Board, the federal agency that moderates disputes between labor and management.
July 21, 2012 |
WASHINGTON — Richard Cordray has a message for opponents of the Consumer Financial Protection Bureau: Neither he nor the new watchdog agency is going away. The bureau celebrates its first anniversary Saturday with opponents still trying to shut it down — or at least weaken its power. Instead, the bureau flexed its muscle for the first time this week. It joined with another banking regulator to order Capital One Bank to pay $210 million in refunds and fines to settle allegations of deceptive marketing tactics to credit card customers.
January 24, 2013 |
WASHINGTON - In nominating former federal prosecutor Mary Jo White to head the Securities and Exchange Commission, President Obama aimed a strong message at potential Wall Street miscreants: Watch out. Obama amplified that decision Thursday by renominating Richard Cordray, a former state attorney general, as director of the Consumer Financial Protection Bureau. Cordray's controversial recess appointment to the 2-year-old agency expires at the end of the year. Obama said that White and Cordray were key to implementing the 2010 overhaul of financial regulations and protecting consumers and the financial system from the "kinds of abuse that nearly brought the economy to its knees.
March 13, 2013 |
WASHINGTON - Senators questioned two of President Obama's nominees for key financial regulatory positions, and Democrats and Republicans appeared to like both of them. But only one of those candidates is expected to be confirmed. Mary Jo White, a former federal prosecutor, was on track to be confirmed as chairwoman of the Securities and Exchange Commission after Tuesday's hearing by the Senate Banking committee. However, the path for Richard Cordray, the director of the Consumer Financial Protection Bureau who has been renominated by Obama, was still blocked by Republicans who want changes to the agency.
April 21, 2012 |
The nation's top consumer watchdog is investigating one of the largest Buy Here Pay Here used car chains, the latest in a rising tide of scrutiny of the little-known industry. The Consumer Financial Protection Bureau issued a subpoena seeking information and business documents from DriveTime Automotive Group in Phoenix, according to a regulatory filing this week. DriveTime, with 90 dealerships nationwide, is the first Buy Here Pay Here company to be investigated by the federal agency that was created in 2010 as part of the overhaul of financial regulations.