In this recent Huffington Post article from Ryan Grim, Sen. Orrin Hatch (R-Utah) compares the creation of an independent Consumer Financial Protection Agency (CFPA) to the creation of the Environmental Protection Agency (EPA).
Apparently, conservatives like Hatch think that comparing the CFPA to the federal regulator charged with preventing big business from destroying the environment and exposing the public to toxic chemicals is a good argument against it. Seriously. Does anyone actually think we would be better off without an EPA, or if industries had MORE freedom to pollute?
While so many Americans struggle in today’s gloomy economy– in no small part as a result of the toxic banking products polluting our economic environment – it’s more important than ever to realize that what’s good for Wall Street’s bottom line isn’t necessarily what’s good for the rest of us. Just like we need an agency to keep mercury and lead out of our drinking water, we need one to keep exploding mortgages and predatory loans out of our communities.
Predatory Lending is a major contributor to the economic turmoil we are currently experiencing.
Here is an example of what I am talking about:
Scott Veerkamp / Predatory Lending (Franklin Township School Board Member.)
Please review this information from U.S. Senator Jeff Merkley regarding deceptive lending practices:
“Steering payments were made to brokers who enticed unsuspecting homeowners into deceptive and expensive mortgages. These secret bonus payments, often called Yield Spread Premiums, turned home mortgages into a SCAM.”
The Center for Responsible Lending says YSP “steals equity from struggling families.”
1. Scott collected nearly $10,000 on two separate mortgages using YSP and junk fees. 2. This is an average of $5,000 per loan. 3. The median value of the properties was $135,000. 4. Clearly, this type of lending represents a major ripoff for consumers.
http://merkley.senate.gov/newsroom/press/release/?id=A09C6A80-537A-4EB1-83C5-31925F046B6F