June 16th, 2009
11:20 AM ET
12 years ago

Obama wants shield for consumers

[cnn-photo-caption image= http://i2.cdn.turner.com/cnn/2009/images/06/16/art.obama061609.gi.jpg caption="President Obama on Wednesday will call for the creation of a new financial watchdog agency."]WASHINGTON (CNNMoney.com) - When President Obama takes the podium on Wednesday to talk about his proposals for avoiding the next financial crisis, he is expected to unveil one idea that speaks directly to consumers and their pocketbooks.

Obama will call for the creation of a new financial watchdog agency. Its mission will be to protect consumers from deceptive or dangerous mortgages, credit cards and other financial products.

Proponents have dubbed it a "financial products safety commission" akin to the federal agency that oversees safety of toys and other products. Obama himself broached the subject on Jay Leno's "The Tonight Show" in March.

"When you buy a toaster, if it explodes in your face, there's a law that says, 'Your toasters need to be safe,'" Obama said. "When you get a credit card or you get a mortgage, there's no law on the books that says, 'If that explodes in your face, financially, somehow you're going to be protected.'"

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Filed under: President Obama
soundoff (67 Responses)
  1. Fair is Fair

    Oh, I don't know, Mr. Obama... how about something called "personal responsibility"? Something like "gee... maybe I have to live within my means"? Something that is becoming extremely rare lately?

    Sorry... you can't compare the toaster to the mortgage. The blame for bad financial decisions lies with those who make them.

    June 16, 2009 11:44 am at 11:44 am |
  2. Amen to that....

    It's about time for Big Brother to watch over Big Businesses that have been riding high on the backs of consumers for decades now.

    Thank you Mr. President! 🙂

    June 16, 2009 11:45 am at 11:45 am |
  3. GI Joe

    Finally a President for the people instead of Corporations. It's been too long.

    Insurance Companies, Credit Card Institutions, etc., have become wealthy on our backs.

    June 16, 2009 11:45 am at 11:45 am |
  4. Dutch/Bad Newz, VA

    Thank you Mr. President for looking out or the little guy. This almost reminds me of the commercial when the guy offers one girl a toy pony and gives the other girl a real one.

    June 16, 2009 11:47 am at 11:47 am |
  5. Joe in NJ

    Yes, let's create more agencies and czars and whatnot who will dictate to businesses and institutions how they should run things because we need the government to control every aspect of our lives.

    June 16, 2009 11:50 am at 11:50 am |
  6. David

    WOW...a president that is actually focused on improving the lives of the American people who elected him to do just that. It seems the only groups that are against what our president is offering, are either financially benefiting from using the powerless public, or just stuck mindlessly defending the party of NO.

    June 16, 2009 11:52 am at 11:52 am |
  7. katiec

    A watchdog group is good but we need to reinstate regulations that take away the right of the financial institutions to rape the American people. They were given free rein and greed, power took over.
    They need to be held accountable from investments to criminal salaries and bonuses for their CEO's and top ranking officers.

    June 16, 2009 11:52 am at 11:52 am |
  8. D. Tree

    b-b-b-but who is going to protect those innocent, helpless, and powerless Credit Card companies if we consumers are actually given rights? 😉

    June 16, 2009 11:53 am at 11:53 am |
  9. Rob

    I smell another czar coming! This guy woulda been great in Russia 100 years ago!

    June 16, 2009 11:54 am at 11:54 am |
  10. Jeff

    Obama is everything to all people. He is for the young. He is for the old. He is for the disadvantaged. He is for the advantaged. He is for Doctors.
    He is for Patients. He is for Republicans. He is for Democrats.. blah blah blah.

    Truthfully, Obama is for himself. period. He apologizes for the United States to the world... and he apologizes for the world to the United States.

    He has nothing that he truly stands for besides promoting himself, which he has done successfully since becoming a Chicago mobster stylized politician. You scratch his back.. he scratches yours.
    UAW did and he reciprocated....etc..etc..etc

    I hope someone wakes up soon and sees that our nation is headed for internal strife.

    June 16, 2009 11:54 am at 11:54 am |
  11. Mark

    Sure he wants everything now and we are leveraged to the hilt to pay for all his programs. I thought he was going to make more poor decisions than most Presidents but I never thought he would end up doing so much harm. He is so buoyed by the press and his following and I do not think he sees any blinds spots which is ever worse.

    June 16, 2009 11:54 am at 11:54 am |
  12. Cindy PA

    The teleprompter president reading more useless speeches! This will be just another way for the teleprompter president and the tax cheating Democratic Congress to get their hands in our pockets.

    June 16, 2009 11:55 am at 11:55 am |
  13. southerncousin

    After reading the responses of the lefties to the Palin/Letterman flap, I hope the right wing pundits will take note that it is now okay (using the left wing perverted logic) to attack the Obama girls, Michelle and the families of any liberal poitician. Imus should be restored with all of the money that was remaining on his contract. Trent Lott should be restored as Majority Leader of the Senate. Don't ya just love the liberal politics of hate and personal destruction.

    June 16, 2009 11:56 am at 11:56 am |
  14. phoenix86

    If the new agency has the power to bring criminal charges in the defense of the consumer, they will need to bring charges against Obama for fraud, embezzlement and causing lasting financial damage to every American.

    June 16, 2009 11:59 am at 11:59 am |

    No more goverment, it is growing too much too fast!

    June 16, 2009 11:59 am at 11:59 am |
  16. bill

    All this guy wants is GOVERNMENT to be your DADDY.......

    June 16, 2009 11:59 am at 11:59 am |
  17. Obama Victim

    can this gut go a day without being on TV?? or spending our money.............this is like a nightmare that just won't end

    June 16, 2009 12:00 pm at 12:00 pm |
  18. Ron

    I hope Obama gets all the things done that he wants for this Country.....His blockage may be the older people he has to deal with in congress ....they don't want him to change anthing that affects them.......their jobs should be like ours .....similar benefits, etc

    June 16, 2009 12:01 pm at 12:01 pm |
  19. Independent in Virginia

    Ridiculous! This is getting out of control. All these whiny irresponsible adults who are no better than children should take some responsibility and stop trying to blame their overspending on corporations or the products they buy.

    Since when have we become a country of hand holding and laziness (don't respond to that). I'm still in shock when I read more and more of this babying and handouts.

    June 16, 2009 12:02 pm at 12:02 pm |
  20. phoenix86

    Obama is welcoming in the new era of zero personal responsibility. He has to, no one wants to take responsibility for his election anymore.

    June 16, 2009 12:03 pm at 12:03 pm |
  21. Typical Republican

    This is crap. Why would any president want to protect americans from corrupt business. As a republican, I strongly disagree with regulating businesses that are raping our nation. We must stand up for these dirt bags.....errr, I mean Corporations and their right to ruin the nation and screw the customer. There is only one solution to this. It is not going to be 'regulate businesses' it's simply "too bad, get raped by us and don't try to make us be ethical"....it's the only way! As a republican, we have to continue to allow bad business practices to continue.

    We republicans DEPEND on the loopholes, please don't take them away!

    June 16, 2009 12:05 pm at 12:05 pm |
  22. Enough

    Another new watchdog?? Apparently he, like most Democrats think you have no brain and can't make a wise decision without the governments assistance. People need to take responsibility for their actions and quit blaming someone else when they screw up! Those big bad mortgage companies didn't force people to live beyond their means, it was the peoples own greed. Read the contract you are signing, Ignorance of the law is NO excuse.

    June 16, 2009 12:05 pm at 12:05 pm |
  23. jim

    who is going to protect us from the government. when are we going to wake up and admit we made a mistake. this so called recovery is not working in any way shape or form. how far are we going to drag our country down before we go back to what made this country the great nation it was. private sector jobs and little or no government are the answers. bigger government has never prospered any nation. we should be proud of our country and what it has done in it's history instead of taking the easy way out and just criticize every move we have made – what a cop-out.

    June 16, 2009 12:06 pm at 12:06 pm |
  24. william gair

    Thank God someone is finnaly paying attention to our plight rather than blambing us.

    June 16, 2009 12:07 pm at 12:07 pm |
  25. Larry

    If you think everyone who had a problem with a mortgage had it because he was living beyond his means then there is much you don't understand about what happened in the mortgage crisis.

    I don't think a new government agency is necessarily the right answer to prevent widespread problems in the future, but the problems were far greater than people buying things they couldn't afford.

    June 16, 2009 12:07 pm at 12:07 pm |
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