On the recordFebruary 27, 2014
The Consumer Financial Protection Bureau is one of the largest Federal undertakings in recent history, created by Congress yet unaccountable to Congress. One man is tasked with oversight of essentially the entire financial services industry. Director Cordray works hard for consumers, but no single individual can have sufficient expertise to make determinations that impact low- income families, community banks, mortgage lending, auto lending, credit card users and students. A real estate lawyer in my district who represents clients who specialize in lending to low-income people, whose clients have a foreclosure rate of less than 5 percent, commented: The only way these folks can own a home is to finance the purchase from an unconventional source. My clients get financial information from the prospective buyers relating to their ability to pay, but it does not meet the thresholds established to qualify as a Qualified Mortgage. This year, that lawyer advised all his clients to discontinue lending. This is the same story we are receiving from our community banks. These are the results of an unaccountable agency with insular focus. H.R. 3193 would bring much-needed accountability and ensure that enough experts are at the decision table that American families are actually protected by Federal regulations, not harmed by unintended consequences, a situation we have seen all too often in recent months.
