SIFMA Member Bulletin: Barney Frank Introduces Obama Administration’s Plan to Increase Consumer Protection

On July 8th, House Financial Services Chairman Barney Frank (D-MA) formally introduced a bill to implement President Obama’s plan to strengthen consumer financial protection. The bill, H.R. 3126, would establish the Consumer Financial Protection Agency (CFPA).

The HFSC statement said the proposed bill embodies the Administration's proposed “Consumer Financial Protection Agency Act of 2009”, announced on June 30, with "certain limited exceptions." Unlike the Administration’s draft, H.R. 3126: preserves the current federal banking regulators’ role to enforce the Community Reinvestment Act (CRA); and postpones the creation of the National Bank Supervisor (NBS), a new prudential regulator that would merge the Office of the Comptroller of the Currency (OCC) and the Office of Thrift Supervision (OTS).

SIFMA continues to work closely with its members to engage legislators and regulators on this important legislation. Please feel free to contact Joe Sack at jsack@sifma.org if you have any questions, comments or concerns that you wish to share.

Documentation: The HFSC press release may be viewed here. A full text of H.R. 3126 may be viewed here. The Administration’s full proposal may be viewed here. A Davis Polk Wardwell memo, summarizing the Administration’s proposal, may be viewed here.

Important Publications:
SIFMA SmartBrief (past five issues)
SIFMA Regulatory Update
SIFMA Washington Weekly
SIFMA Weekly EU and Global News Update