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Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.

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Trump administration strips consumer watchdog office of enforcement powers

More protection for the little guy... what a surprise!

The Trump administration has stripped enforcement powers away from Consumer Financial Protection Bureau office that specializes in pursuing cases against financial firms for breaking discrimination laws, according to two people familiar with the matter and emails reviewed by The Washington Post.

Beyond moving the Office of Fair Lending, Mulvaney has also dropped lawsuits against payday lenders and said the agency would reconsider aggressive rules the industry complained would cripple it.


Link to article (via the SF Chronicle)
Link to article (via the Washington Post)

Comments

  • @MFO Members: Let the liberals whine !
    Regards,
    Ted
  • Ted...just curious. You think payday lenders should be unregulated and allowed to wreak havoc on unsuspecting borrowers?
  • Anything that is annoying (or worse) in this way pleasures Ted immensely; he can't help it. Substance / merit is of no concern.
  • Oligarchy. Just more and more and more. Gotta go vomit again. 'Scuze me. These pigs have no soul. Empty shirts, worshiping at the Greenback Whorehouse.
  • @Ted-

    What on earth does a "liberal" or "conservative" label have to do with it?

    Do you really believe that payday lenders don't have a long track record of screwing over the unwary and the uneducated?

    Do you really believe that this is perfectly fine and that there should be no protections for those people?

    If you do really believe those two propositions, then what the hell do you use for morality?

    Or are you just trying to get a rise out of some of us?
  • I suppose Ted has the right to his opinion,,,,,,, comments such as his post of 2:36 pm defile this board. We can live with useless links by the thousands but this sort of name calling will do real damage. The honorable thing for the linkster to do would be to crawl back under the rock from which he came from and leave the rest of us to our discussions.
  • wait, wait, he's the only one who gets to decide what defilement is, come on --- elder privilege and all that
  • @MFO Members:
    1. I didn't bring up the subject, and as you know I apposed bringing political subjects to the board. You know the old saying, never discuss religion or politics.
    2. Although, unpleasant pay day loans have been around long before the Tuump administration arrived. Where were you then Old_Joe ?
    3. For many they provide the only available method of securing a loan even with the very high interest rates.
    Regards,
    Ted
  • If I remember correctly the US troops were the primary targets for payday loan scams. Puts a strange perspective on "support the troops".
  • edited February 2018
    Note: a touch of sarcasm follows. Anna, you might be confusing "supporting the troops" with "supporting the military." As long as I can remember most of the military personnel living off base would easily qualify for welfare, food stamps and so on like that. Too bad, we don't care. They deserve to be scammed if they can't make it on the pittance we pay them. We need to apply that military budget toward lining the pockets of ship, plane and bomb makers along with all the leaches operating around the military bases in our congressional districts. That's where the perks are.
  • "They deserve to be scammed".

    Sums up Ted's morality in a nutshell.
  • "Although, unpleasant pay day loans have been around long before the Tuump administration arrived. Where were you then Old_Joe ?"

    @Ted: "Then": I was there when the prior administration did it's best to at least put a few restrictions on how badly the loan sharks can screw over their victims, Ted. Where were you?
  • @Old_Joe: I could care less about pay day loans.
    :(
  • "I've got mine; screw the others"
  • Well, that's a bit more than I wanted to know about Ted, I'm afraid. Not really a surprise though. And these people are "leading" our country. Straight to hell.
  • Well, I’m not up to date on this loan business… but I don’t believe that the CFPB deserves “independence” from oversight any more than any other law enforcement agency.
    If Mulvaney is changing the rules from sweeping and ambiguous and you don’t like the idea of a powerful, unaccountable agency with unrestrained regulatory powers, then dear liberals – stop creating them.
  • Flack! Welcome!
  • Ted said:

    @Old_Joe: I could care less about pay day loans.
    :(

    "If you are neutral in situations of injustice, you are on the side of the oppressor."
    ---Archbishop Desmond Tutu.

    Ya, what he said.

  • Thanks Crash. In these times we should not fool ourselves about our enemies. Those who support injustice and use names like "liberals" to obscure their basic indecency are everywhere. Even here .
  • I do not think political diatribes have any place here. I get enough of this junk from my relatives. Instead, perhaps we could back up our "opinion" with some facts for a much needed sense of reality.

    Surely the relative proportion of payday loan customers who are military ( and proportion of Military that use them) is available online, as is the average PFC's pay.

    What most interests me is the effect of many of the "anti-little guy" ( like this one) and "anti-farm belt" (crush NAFTA's agricultural trade with Mexico for example) Trump policies could have on the midterm elections.

    Seeing as all of my female in-laws voted for Trump ( including the young women) I assume that either they found Hilary more odious or really don't car about sexual harassment. Based of the multiple resignations in Congress, apparently the general public is reacting differently.

    Anybody think that without Trump in the races this fall it these other issues will be more important?
  • Adding to what Anna wrote about the military being favored targets of financial scams, and tying this more closely to mutual funds, here are a couple of links to items about "systematic investment plans", like Fidelity's Destiny plans.

    These were funds sold with huge (50%) first year front end loads under a fixed monthly investment contract. So if one kept going for 10 years, that load would amount to 5% of one's total investment. Of course, being up front, the actual cost to the owner was much greater.

    FINRA Investor Alert
    : "While the majority of these plans are sold to military personnel, they are also sold to civilians. These plans come with high upfront costs and are expensive if the full term of payment is not completed."

    These were so outrageous that they were outlawed a decade ago for sale to anyone, civilian or military, by the Military Personnel Financial Services Protection Act

    A couple of examples of actions that NASD (now FINRA) and the SEC belatedly took against the scammers, leading up to this law. CFPB was designed specifically to address scams like these:

    Fidelity Fined for Misleading Troops (Military.com)

    First Command to Pay $12 Million to Settle SEC and NASD Charges Involving Misleading Sales of Investments to Members of the Military (SEC)
  • Sometimes I just shake my head in wonder. The same people cheering for the removal of regulations governing pay day lenders are likely the same team who argued against requiring a financial adviser to do what's in the best interest of their client.


  • certainly, not likely

    freeeeeeeeeedom!
  • edited February 2018
    The question I have for Ted is why do you have a picture of George C. Scott playing Patton as your avatar and frequently post pro-military messages and patriotic Youtube videos, and yet you don't care about this issue?
  • Howdy folks,

    Good grief. Ted, I've known you longer than anyone on this board. Who's trolling under your username?

    That said, please keep in mind about the current administration and their political moves . . . anything that was done by fiat under the Obama admin is expected to not only be reversed, but have the dial pushed in the other direction as far as LAW allows. This is the nature of the beast, grasshoppers. If you want something to last, have it legislated. If you want it to really last, make it an amendment. Otherwise, bother me when the market goes down by the sign of the Donald.

    and so it goes,

    peace,

    rono
  • @LewisBraham. Not speaking about Ted at all but patriotism is just another false flag issue used by the repuglican party to distract voters while they methodically plunder the wealth of the nation. As evidenced by the current administration,,,,, taking care of our soldiers matters not all. And if patriotism means caring about our country,,,,, that doesn't matter either.
  • larryB said:

    Thanks Crash. In these times we should not fool ourselves about our enemies. Those who support injustice and use names like "liberals" to obscure their basic indecency are everywhere. Even here .

    ORK???
  • rono said:



    Otherwise, bother me when the market goes down by the sign of the Donald.

    rono

    k

    https://www.nytimes.com/2018/02/02/us/politics/payday-lenders-lobbying-regulations.html
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