Regulations

House Republicans Vote to Repeal Wall Street Regulations

JM Ashby
Written by JM Ashby

While most of the world was laser focused on former FBI director James Comey's testimony yesterday, House Republicans voted to repeal the Dodd–Frank Wall Street Reform and Consumer Protection Act of 2010.

With a forked tongue, the bill's sponsor Representative Jeb Hensarling (R-TX) said the Orwellian "Financial Choice Act" will end the era of too big to fail, which is actually the oppose of what it will do.

"Dodd-Frank represents the greatest regulatory burden on our economy, more so than all the other Obama-era regulations combined," Hensarling told reporters Wednesday. "There is a better way: economic growth for all; bank bailouts for none." [...]

"To think in a democracy that one un-elected individual [the director of the Consumer Financial Protection Bureau] can functionally decide what credit cards go in our wallets, what mortgages we can have on our home, whether or not we even have a checking account. I mean, that's just anathema to me to the founding principles of this republic," Hensarling said while speaking last month at the right-leaning American Enterprise Institute.

I suppose of all that might sound outrageous, or at least it would if it were actually true. Richard Cordray, the direct of the CFPB, does not have that kind of authority. Cordray wasn't even appointed until a year after the consumer protection bureau was created because congressional Republicans blocked his confirmation, and he does not dictate the terms of your mortgage.

Has Hensarling never heard of the Federal Housing Administration?

To say that this will end the era of bailouts may be the most egregious lie of all because it will make bailouts more likely, not less, by making the next financial crisis that much more likely.

It's not as if banks or Wall Street are hurting. They don't need this. No one needs this. And it's not you, the average American consumer or citizen, who will be making the financial "choice" enabled by this bill. Those choices will be made by the banks that are already making plans to reenter the market for mortgage-backed securities.

The good news is this bill cannot be passed with a simple majority in the Senate. A filibuster by Senate democrats will likely be our last line of defense.

  • muselet

    “To think in a democracy that one un-elected individual [the director of the Consumer Financial Protection Bureau] can functionally decide what credit cards go in our wallets, what mortgages we can have on our home, whether or not we even have a checking account. I mean, that’s just anathema to me to the founding principles of this republic,” Hensarling said while speaking last month at the right-leaning American Enterprise Institute.

    To which, the Founding Fathers—and the Framers—responded in unison: “What the everloving fuck is a credit card?”

    “Founding principles,” my foot.

    –alopecia

  • Scopedog

    Well, I guess this will be the what?–fourth financial crisis the GOP will enable. And not even a decade after the last one.

    Way to go, all of you purists who whined about how Hillary was a Wall Street b**ch and how Obama never busted any bankers, so Dodd-Frank was a piece of crap.

    I saw a comment by some idiot purist whining about how he voted for Stein because Hillary represented “the status-quo”. Well, if the “status quo” during 2016 was Dodd-Frank (Wall Street regulations), the ACA (affordable health care for millions), more rights for the LGBT community, the best environmental regulations in decades, improved relations between Native Americans and the US Government, and respect for the President and the US around the world…I definitely prefer the status quo.

    But some folks just wanted to have their fucking unicorn.

    • ninjaf

      How do they feel about their “unicorn” literally sitting at the table with Putin in that infamous Mike Flynn photo?

  • Aynwrong

    “But Hillary gave paid speeches to Goldman Sachs…”

    All together now:
    FUCK OFF!

    • Dread_Pirate_Mathius

      Clinton explicitly ran on a platform of updating and expanding DF.

      Trump ran on a platform of “burn it to the ground.”

      I, personally, suffer tremendously at the hands of DF. The amount of work and expense it creates for me (I work at a hedge fund) is no joke. But it is important. And, much as I hate it, I know it’s a good thing. Repeal would cause a boom in the short term and a very different kind of “boom” in the long term.

    • Scopedog

      Thank you.

  • gescove

    House R’s are straight up mofos. Every last one. Wait, I take it back. There was a single Republican no vote.