Asus' FREE Speech Money Club

[basserdan]

BANKERS SLAM CFPB ON LAWSUITS

WSJ’s Yuka Hayashi, Annamaria Andriotis and Christina Rexrode: “Consumers are set to gain new powers to sue banks under a proposal unveiled by regulators, a move that lenders warned would hurt rather than help most borrowers. The plan, which would allow class-action lawsuits, sets up the latest clash between the banking industry and the [CFPB] over whether the agency is coming down too hard on lenders and overly restricting their operations.

“Lauded by consumer advocates, the proposed rule would restrict the use of arbitration clauses in many financial contracts. It would give consumers more latitude to challenge, for example, what they deem as hidden fees and excessive charges on products ranging from credit cards to private student loans. The CFPB aims to prohibit financial companies from using mandatory-arbitration clauses as a way to block class-action lawsuits, in which a large number of plaintiffs with similar complaints band together”

http://on.wsj.com/1ZkxzcL