How Trump’s plans to curb financial protections may affect you – New Jersey News

How Trump’s plans to curb financial protections may affect you – New Jersey News


He joined Secretary Mnuchin at the treasury.

Debt collectors who refuse to identify themselves. Banks that aggressively upsell unwanted credit cards. Mortgage brokers who disregard borrowers’ ability to repay loans. Financial advisers who pitch high-fee annuities.

These are some of the financial industry players who have been in the crosshairs of the Consumer Financial Protection Bureau and the law that enacted the bureau’s enforcement powers, the Dodd-Frank Wall Street Reform and Consumer Protection Act.

President Trump, who has high-profile Wall Street bankers working as his top aides, has been clear about his intent to roll back Dodd-Frank’s regulatory reach and the CFPB’s independence. Put in place during the Obama administration after the financial crisis of 2008, Dodd-Frank and the CFPB established a wide range of rules and oversight designed to curb financial companies’ aggressive and risky practices that are harmful to consumers.

Friday, Trump stepped up his efforts, signing executive orders that direct Treasury officials to review oversight of “too big to fail” financial institutions.

Specifically, Trump called on Treasury Secretary Steven Mnuchin to review the use of the so-called orderly liquidation authority, as granted by Dodd-Frank. It lays out a process to quickly liquidate large, insolvent banks and financial companies. Trump wants to review whether court-supervised…

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