Sign The Petition: Protect The Consumer Financial Protection Bureau
February 10, 2017
As we highlighted last October, the Murdock Trust, with Wells Fargo executive Jeffrey Grubb as one of three trustees, has funded groups that have worked to undermine the Consumer Financial Protection Bureau (CFPB), which recently fined Wells Fargo a record $100 million for illegally opening accounts for unsuspecting customers.
Now, you can add your voice to a petition to call on Congress and the White House to oppose any effort to dismantle the Consumer Financial Protection Bureau.
A few examples of the organizations that Murdock funds:
- $300,000 to the Manhattan Institute for Policy Reform, whose legal director slammed the CFPB in a May, 2016 article in the National Review that argued that a proposed CFPB rule to protect consumers right to file class action suits was created to help President Obama’s and the CFPB Director’s “trial lawyer friends.” In August, the Manhattan Institute invested heavily in creating a massive report to debunk the rule and criticize the CFPB.
- The Heritage Foundation, which has received more than $3 million from the Murdock Trust, has also written extensively attacking the bureau, calling it “one of the most powerful—and unaccountable—federal agencies ever created.” Heritage also argued that “in the case of the CFPB, the rule of law is being supplanted by regulatory whim, producing deep uncertainty in the consumer financial market.”
- The Washington Legal Foundation, which has received more than $1.4 million from the Murdock Trust, joined criticism of the CFPB in August 2016 by arguing its actions hurt consumers and were designed to “serve the interests of the class-action plaintiffs’ bar instead.”
Why would these corporate-driven organizations oppose the CFBP? In just five years since its founding in July 2011, the CFPB has an impressive record of taking on the finance industry on behalf of American working families.
- In those five years, the CFPB helped return more than $11.2 billion to more than 25 million consumers tricked by deceptive financial practices.
- The CFPB also enforces laws requiring mortgage lenders to verify that a borrower can actually pay the mortgage before getting it. According to the Center for American Progress, “If the CFPB’s mortgage regulations had existed before 2008, lenders would have been unable to issue the subprime loans that led to the collapse of the housing market.”
- The CFPB issued and enforces rules that prevent mortgage lenders from directing borrowers to higher-interest loans even when they qualify for lower ones.
With so much controversy surrounding their leadership, it doesn’t look good for Wells Fargo that a top executive in the Pacific Northwest is helping an organization that funds groups trying to undermine the very agency that regulates the massive bank.
The Murdock Trust appears to want to protect the big financial companies that caused the Great Recession. This, in turn, would greatly benefit Wells Fargo. But as working families we know the Consumer Financial Protection Bureau has a record of standing up for us. We just wish the Murdock Trust and Wells Fargo did too.