July 22nd, 2009
06:19 PM ET
5 years ago

Opposition mounts for Obama's consumer plan

WASHINGTON (CNNMoney.com) - One of the signature proposals in the Obama administration's efforts to reshape the regulatory framework for banks has been slowed as supporters regroup in the midst of mounting opposition.

The creation of a new consumer protection agency to regulate mortgages, credit cards and credit insurance was never going to be easy. But the forces trying to stop or water down the proposal have grown beyond banks and financial sector lobbyists.

Federal Reserve Chairman Ben Bernanke, testifying Wednesday before the Senate Banking Committee, argued strongly that the central bank should keep its consumer protection powers, which would otherwise move to the new agency.

Bernanke also suggested that Congress take steps to elevate consumer protection to a more prominent role at the Fed.

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Filed under: CNNMoney.com • Obama administration
soundoff (13 Responses)
  1. GOP = 21st century dodo

    Health industry wants to keep things they are so they keep making tons of money at the expense of hard-working Americans.

    Banking industry wants to keep things they are so they keep making tons of money at the expense of hard-working Americans.

    Oil industry wants to keep things they are so they keep making tons of money at the expense of hard-working Americans.

    and let's not forget the biggest villain of them all...

    THE GOP wants to keep things they are so they keep making tons of money at the expense of hard-working Americans.

    July 22, 2009 07:37 pm at 7:37 pm |
  2. Hopeful Optimist

    If it could be proven beyond a doubt that this would be good legislation, the Repubs would still fight it. What a me first lot. Traitors !!

    July 22, 2009 07:39 pm at 7:39 pm |
  3. Peter

    American enemy # 1 lobbyist and special interest groups. To break a way from this culture won't be easy! its roots goes deep for past eight years. Its a culture of man eat man screw thy neigbor if there is a buck or dime on the table. Lobbyist for corporate America and fox news (Rupert Mudoch) are the defacto political leaders of America. Enslave the rest fortunate and build-up an empire of robots who can't see how they are manipulated by the lobbyists. This is not an issue of republicans or democrates its an issue of what is right or wrong! wake up America fight these special interest groups. They shower your leaders with gift to turn a blind eye from the reality. The contributions amount to a huge downpayment by companies expecting friendly treatment and that is the cold reality of big money politics! ask Sen Baucus how much the health care industry lobbyist have showered him with!. Un mask these groups they are not there for you, they are there for themselves. Its greediness wrapped with ethos of capitalism after all if we live in a free market why do we need lobbyist?

    July 22, 2009 07:40 pm at 7:40 pm |
  4. LacrosseMom

    I believe this is because Americans are not informed!

    Come on, folks! Do your own research and beware of GOP lies!

    July 22, 2009 07:52 pm at 7:52 pm |
  5. John from California

    I say It's time to gather our political troops and fix the broken financial sector which has cost me over 30% of my life savings.

    I have worked for almost 50 years saving every penny that I could afford and the crooks in the financial sector "stole" a big portion of my savings.

    I say it's high time to put regulations on the financial sector with stiff penalties for the crooks.

    People go to jail for a good portion of their lives for stealing $5000 but, these financial crooks steal billions at a time and walk away or get a slap on the wrist.

    Old "Kenny Boy Lay" stole peoples entire savings and because he "supposedly" died, his wife gets to keep his ill gotten gains. This is only one example of a system rigged to benefit the rich at the expense of most of us.

    We need to get back to a modern version of the controls that were put in place after the "last depression" because the republicans under Phil Gramm and George Bush gutted any oversight on these financial crooks.

    July 22, 2009 07:57 pm at 7:57 pm |
  6. Rosa Sepulveda

    Obama promised there would be no mandate and he went back on his promise. I fee betrayed!
    It's better to do nothiing than to do the wrong thing.
    Mandates for a lot of people mean chosing between a college education and worthless health insurance. All this bill does is hand money to the greedy insurance companies that we need to eliminate. We need HEALTH CARE, NOT Health insurance. Obama needs to GET OUT OF BED WITH THE GREEDY AND GET IN TOUCH WITH THE NEEDY.

    July 22, 2009 08:14 pm at 8:14 pm |
  7. GI Joe

    Regulate regulate regulate.

    We see what the de-regulation got us from Wall Street and Credit Cards.

    REGULATE

    July 22, 2009 08:14 pm at 8:14 pm |
  8. Palin owns Obama

    What a commie muslim terrorist! He wants to take our guns away and give my tax dollars for welfare moms to have health care. He needs to go back home to Kenya! SHOW US YOUR BIRTH CERTIFICATE OBAMA! YOU ARE AN ILLEGAL IMMIGRANT! He should be behind bars!

    July 22, 2009 08:26 pm at 8:26 pm |
  9. patrick

    bs. don't back down on this. the fed did nothing and has done nothing. I have had it up to here with "regulation" being some bad word. If the banking industry pulls this one off we are idiots. They ruined the economy and now are still running the ship. Forget it. If regulation is bad then lets get rid of the police department as well. After all its just regulation and we live in free market of dog eat dog. Shameful america. Bernanke just lost all my confidence. A vulture capitalist that wants to keep the rich rich and not make room for others.

    July 22, 2009 09:32 pm at 9:32 pm |
  10. Steve, Columbia SC

    What an incredible surprise.................who woke them up to such foolishness from our president and the demoncrats?

    July 22, 2009 09:49 pm at 9:49 pm |
  11. Aaron

    So, the Fed wants more consumer laws for it not to enforce?

    July 22, 2009 09:51 pm at 9:51 pm |
  12. disgusted

    Consumers need protection and the Fed needs to be regulated and investigated. Who exactly runs that place? Does anybody know?

    July 22, 2009 09:52 pm at 9:52 pm |
  13. Buddy Gilmour

    Anyone who trusts the banks is a fool. They definitely need more oversight before they bankrupt us all. In addition, these large financial institutions need to be broken up to the size where we can let them fail. There was too much consolidation under previous administrations. The current state of affairs places unacceptable power in the hands of large financial institutions.

    July 22, 2009 10:53 pm at 10:53 pm |