Dodd-frank To Likely Bite The Dust - Housewire

[J Grant]

Dodd Frank establishes a set of rules that lenders can be prosecuted for if they break the rules,thus acting as deterrent. Pre DF, the regulations had been relaxed, if no regulation is in place against a predatory, but legal behaviour, what can they be prosecuted for? The bailout of the banks was controversial, but the posters here do realize the bailout was not a gift but a loan, that has been repaid with interest?

I personally would have liked to have seen more individuals on bank/mortgage/wall St side who if they did commit crimes that could be prosecuted, doing hard time and not allowed to take settlements and resign . But that's water under the bridge, it is now 2017 ...given the bad actions and results in past with lax regulation, why does anyone believe this time around will be different?

 

[Peter LeQuire]

How can be argued that banks would become unregulated were DF to disappear? For a beginning, you've got: Farm Credit Administration. Federal Deposit Insurance Corporation. Federal Financial Institutions Examination Council. Federal Housing Finance Agency.Federal Reserve Board of Governors. Financial Stability Oversight Council. National Credit Union Administration. If one were to read the regulations those agencies promulgate, one would not expect to be found rational claiming that banks were regulated. Further, those regulations are chock full of penalties. Don't bother to read the general criminal statutes dealing with fraud, or consumer protection, or false advertising. Don't even think that 50 states have their own banking laws, regulations, regulatory agencies dealing specifically with banking, as well as statutes dealing with fraud and consumer protection.

The failure to prosecute and enforce those laws is not an argument for continuation of DF. We have DF and - to repeat - Wells Fargo only had to admit "full responsibility" to score a departure bonus worth more than $100,000,000 - that would be one hundred million dollars - for his culpability in carrying out a comp program that resulted in the fake accounts it did.

 

[J Grant]

The enforcement may stink, but the wells fargo debacle aside, (which was credit card related, not mortgage related) DF has fulfilled its mission by cleaning up Wall Street and the mortgage lending side.

I doubt you will see any enforcement from this administration, ...influential positions given to the billionaires of corporations and Wall St/banking. Note this administration's behavior since taking office, mocking the judicial system, de funding agencies that protect consumers, firing those investigating possible wrong doing, decimating consumer protection laws , etc. You expect enforcement from this bunch...omg.

 

[gregb]

Lot of enforcement going forward with a focus towards the war on drugs and immigrants.

http://thehill.com/blogs/pundits-bl...s-sessions-doubling-down-on-a-failed-drug-war

 

[J Grant]

good lord, just what we don't need...another "WAR" on drugs...which has been a epic fail for decades. Drug addiction problem needs treatment and prevention programs. Look at the pleas from addicts and their families across America, look at the studies of what works and what doesn't work. Of course we need laws and enforcement around illegal drug smuggling but we have plenty of that and are wasting enormous resources paying for long jail sentences for minor drug offences. It cost 28k low end and 50k high end (averages) to keep an inmate in prison a year, a 10 year prison sentence look at the cost, compare that to the cost of treatment and prevention ( and which is effective ). The "war" on drugs is given vast resources because it benefits private prisons

As far as immigrants , sure enforce existing laws more, but immigration is hardly the big threat this admin makes it out to be...immigration from Mexico is already way down due to lack of jobs in the USA and Obama was already deporting high numbers. It won't save jobs but if it makes you feel good to deport more I am okay with it if they are here illegally, I personally think it is a smokescreen to detract from more pressing problems.

In any event, returning long jail sentence for a drug offender or chasing an immigrant out of the country is hardly the same as enforcement against their own ( corporate/ bank or Wall St or Mortgage related )

 

[Peter LeQuire]

The enforcement may stink, but the wells fargo debacle aside, (which was credit card related, not mortgage related) DF has fulfilled its mission by cleaning up Wall Street and the mortgage lending side.

I doubt you will see any enforcement from this administration, ...influential positions given to the billionaires of corporations and Wall St/banking. Note this administration's behavior since taking office, mocking the judicial system, de funding agencies that protect consumers, firing those investigating possible wrong doing, decimating consumer protection laws , etc. You expect enforcement from this bunch...omg.

The Wells Fargo debacle was not credit card related - it was the unauthorized and unsolicited opening of all sorts of credit and deposit accounts. ("Not mortgage related" is somewhat disingenuous - the banks mortgage officers were among WF employees opening accounts with the information collected during the mortgage app process. Cross selling was and is ingrained in the financial services business.

 

[CANative]

I doubt if Trump and his cronies will be around long enough to do anything about DF. Even if they are they will be spending all their time fighting off scandals and Constitutional challenges to their attempts at policy making.

No political. Just saying.

 

[EddieB]

CAN, you've turned into the kind of political hack that you complained about for the previous eight years. During which that administration had the worst record against the US Supreme Court in modern history.

Dodd-Frank only added another layer of bureaucracy on top of another and another. Politicians of both parties never seem to resolve anything. I thought there was a consensus that D-F needed an overhaul

 

[djd09]

Barney Frank said that the financial institutions were stable in 2006. Think about it.

 

[djd09]

Let's put the direct quote up. Was he so Clueless or just plain out Stupid?