Tuesday, July 11, 2017

What's at stake in New Consumer Financial Protections (VIDEO)

The Consumer Financial Protection Bureau has issued a new rule on arbitration to help groups of people take companies to court.

“When your credit card company or auto lender cheats you, it’s really hard to hold them accountable. That’s because your financial contracts almost always include a mandatory arbitration clause that forces you into the pro-industry arbitration process and blocks you from banding together in court with other consumers who got cheated. That changes today – thanks to a new rule from the Consumer Financial Protection Bureau that prohibits these kinds of forced arbitration clauses and finally allows working families to hold financial firms accountable when they get cheated.

“Big business lobbyists will spend millions of dollars attacking this rule and trying to get their Republican friends in Congress to reverse it and shield them from accountability. We have to be ready to fight back and defend this rule. Take a look at this piece to get a sense of what’s at stake.” -- U.S. Senator Elizabeth Warren