Taking a swing at Dodd-Frankstein

Taking a Swing at Dodd-Frankenstein

Last week an “Executive Order” was signed to review the 2010 Dodd–Frank Wall Street Reform and Consumer Protection Act. This law was part of series of laws spun out in 2009, when the White House sent a series of proposed bills to Congress.

The original bill drafted and sent out to the House in July 2009. In December, 2009, revised versions were introduced in the House of Representatives by the then Financial Services Committee Chairman Barney Frank, and in the Senate Banking Committee by former Chairman Chris Dodd. Due to Dodd and Frank’s involvement with the bill, the conference committee that reported in June, 2010 voted to name the bill after them.

This bill evolved into over a 24,000-page industrial monster of a law that sent attorneys and compliance departments of banks and lenders across the USA scrabbling in fear. Enforcement of this law would be handled be the CFPB, Consumer Finance Protection Bureau.


Can you believe that the CFPB would have to answer to “NO-ONE!”


This unchecked group of attorney’s seemed to be hell bent on seeking on the revenge full desires of Senator Elizabeth Warren, who was a founding member of the CFPB.

I wrote about this before, the CFPB is supposed to be protecting the consumer like their name states. Instead they have a reputation for attacking banks and lenders. I always wondered how they went about selecting their targeted victims. If one was to guess it would say it must be based on size of assets. It is easy to conceive that when auditing a large institution, one could easily find some type of wrong doing and then just start dishing out fines.

The question would be, how many times did the CFPB force the Banks or Lenders to directly pay back the consumers who had been injured by the wrong doing along with these fines? Did the CFPB do anything to restore public trust?  Does the CFPB actually address the consumer’s complaints or do they just forward it on to the creditor to respond to?


There have been a lot of good things that have come from the Dodd-Frank Act, but it has also caused a lot of harm.


The biggest blunder actual comes for the Health Care Law. This has left more than 60% of the consumers, which our office handles, with outstanding medical debts that end up in collections. This reduces their credit score. A reduction in credit score ultimately ends up with the consumer receiving a higher interest rate. This higher interest rate costs of each consumer thousands of dollars per year.

The CFPB has not touched this problem – that I know of – with these credit reporting agencies or the rogue credit collection companies. While they benefit greatly from the medical debts the greatest beneficiary of this are the banks and lenders. These two industries are destroying the consumer’s purchasing power. With the passing of this executive order, to have Dodd frank act reviewed, the accountability of the CFPB and establishing a plan and objective or purpose for this agency, Credit Agencies and Collection Companies need to be on the top of this list.


The ability to throw medical collections in to a consumer’s credit mix is so not right or fair to the consumer.


Imagine a plumber or a painter doing work on your home and they do an awful job.

1.You question the quality of the service you received

2.They then call another friend of them to review their work without you really knowing and then

3.That friend sends you a bill for their service.

Before you can question or argue this new bill, it’s being sent to a collection company and being placed as a hit on your credit report.


The Dodd-Frank Act should not be repealed but rather adjusted for the main purpose of resorting trust to the consumer as the number one goal for this review.


Helping the consumer reach their dream of home ownership again would be great for our economy and consumer alike. Home-ownership is something one earns, it’s not given and yet, it should never be allowed to be taken away because a family had an ill child or suffering through an auto accident due to a drunk driver.