WISCONSINITES TELL SENATOR JOHNSON TO STOP CODDLING PREDATORY LENDERS AND BLOCKING CONSUMER FINANCIAL PROTECTION

Media Contacts

Thousands Urge Support for Confirmation of Cordray to head CFPB

WISPIRG

July 9, Milwaukee – That was the message of petitions delivered to Senator Johnson today by the Wisconsin Public Interest Research Group (WISPIRG) and Americans for Financial Reform (AFR). The petitions, which call on the Senate to confirm Richard Cordray to a full term as director of the Consumer Financial Protection Bureau, bore the signatures of more than 160,000 people, including 5,180 citizens of Wisconsin.

After favorable action by the Banking Committee, Cordray’s renomination goes before the full Senate as soon as this Thursday, July 11. Under current Senate rules, 60 votes would be required to confirm the nomination but that favorable outcome for consumers is blocked by Senator Johnson and 42 other Senators who have pledged to oppose Cordray unless the CFPB is first weakened.

“Senators have a simple choice: they can bring this nomination to a vote, or they can do the bidding of the Wall Street lobbyists and shady lenders who have been trying to undermine the CFPB ever since they failed to prevent its creation in response to the economic crisis caused by reckless financial practices,” said WISPIRG Director Bruce Speight.
Director Cordray has earned wide and bipartisan praise for his leadership of the CFPB up to now. Unfortunately for the citizens of Wisconsin however, Senator Johnson’s opposition would dramatically weaken the CFPB.

“Predatory lending, in addition to being a major cause of the financial crisis and its ongoing damage to the U.S. economy, costs Americans billions of dollars year in and year out,” continued Speight. “An effective CFPB is our first line of defense.”

WISPIRG, which took part in today’s delivery, also met with one of Senator Johnson’s staff members to discuss the Senator’s position following the delivery of petition.

The CFPB was created after the financial crisis of 2008 to end predatory lending and bring basic standards of fairness and transparency to the world of credit cards, mortgages, education loans, auto loans, debt collection, credit scoring and other financial products and practices.

Here’s just some of what this new agency has already done:
•    Returned nearly half a billion dollars to consumers cheated by credit card companies;
•    Moved to end the era of mortgages designed to rake in up-front fees before they self-destruct;
•    Stood up for students and families trapped in high-cost private education loans; and deceptive lending practices; and
•    Protected military families against illegal foreclosures and deceptive lending practices.

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WISPIRG, the Wisconsin Public Interest Research Group, is a non-profit, non-partisan public interest advocacy organization that takes on powerful interests on behalf of its members, working to win concrete results for our health and well-being. www.wispirg.org.