Those Gosh Darn Regulations

Those gosh darn regulations sure do get in the way of guy making money. I hate that when it happens. Take for example, that new Consumer Financial Protection Bureau that was created under that evil Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. You know the one that was inspired by the so-called financial crisis created by Wall Street by packaging a bunch of bad mortgages that people should have known better to get into. The law that put that power-hungry Elizabeth Warren in charge as the bureau came of age. I don’t care if she grew up poor and was a waitress paying her way to college.

Well, for the third time in three months, the Consumer Financial Protection Bureau has reached agreement with a major credit agency to refund money to customers due to fraudulent marketing practices and late fee assessments. Yesterday, according to Lindsay Wise of McClatchey Newspapers “American Express has agreed to refund $85 million to 250,000 customers after an investigation uncovered numerous violations of consumer protection laws, ranging from illegal late fees to age discrimination against credit card applicants.” They also failed to report customer disputes to credit bureaus and misled customers regarding paying down debt and money for signing up for new credit cards. In addition to the $85 million refund, American Express was fined a civil penalty of $27.5 million.

This is all the result of an investigation conducted by the Consumer Protection Bureau working hand in hand with the FDIC, the US Comptroller of the Currency and the Utah Department of Financial Institutions. About one week ago, it was announced that Discover Bank would refund $200 million to 3.5 million customers and pay $14 million in penalties. The charges on Discover Bank related to deceptive telemarketing tactics to sell add-on products. These two settlements and fines are on top of the one assessed in July on Capital One Bank who agreed to pay $210 million in refunds and fines to settle similar charges on pressuring customers to buy add-ons.

By my count that is over $536 million in refunds and fines that have been assessed against these three companies in three months. How is a guy to make a buck when he has to treat people fairly and not use deceptive marketing practices? I am so glad Mitt Romney is running for office as he and his Republican mates like Senator Richard Shelby of Alabama, the Senate Banking Leader, will get rid of these intrusive regulations which are hurting our businesses. We all know we should live in a buyer beware society where we can get the economy moving. That is what Ron Paul tell us. We do not need “no stinking badges” to help us govern our free markets. I should have every right to mislead people into buying my products and services.

The fact that a telemarketer misled the author’s 82 year old mother a few years ago into buying a Medicare Advantage policy she already had and making her give me her Social Security information over the phone is just buyer beware stuff. The fact the author had to help his mother change all of her banking information and unwind the transaction again is an onus that should be placed on him and his 82-year-old mother. This business person does not need stinking regulations and a Consumer Protection Bureau to tell him what he can and cannot do. That is un-American and definitely anti-business. Thank God for Governor Romney, Senator Shelby and the GOP. They will rectify this matter and take our country back to where it needs to be.

The above can also be entitled “A Day in the Life of a Republican Businessman.” Thanks for reading and vote accordingly.

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16 thoughts on “Those Gosh Darn Regulations

    • Yes he has. It amazes me how people could be convinced to be against stuff like this. Romney has been very clear that he will repeal Dodd-Frank which includes this. I saw late in the day the NYAG is bringing suit against Bear Stearns, now owned by JPMC for fraud.

    • Agreed. I think more is coming after yesterday’s NY Attorney General bringing suit againts Bear Stearns who is now owned by JP Morgan Chase. Barney has written a lot about this. One of the worst offenders is Lehman and from what I saw on recent “60 Minutes” interview with a investigator, some Lehman execs need to go to jail. Thanks for reading and commenting, BTG

  1. Wow, a federal agency that does its job effectively…and benefits consumers who were victims of crooked business practices…gee, Mr. Romney. This might throw a little wrench into your “big government is evil” rhetoric, hmmm?

    • Agreed. Yet, he changed his tune somewhat during the debate saying he liked parts of Dodd-Frank. That is a reversal of an earlier position. Obama should have raised this success as an example.

  2. Last night Gov. Romney began his answer to the Regulation question posed by Leher ( the soon to be defunded PBS anchor person) with: “I beleive in regulations and businesses need the certainty of regulations”. He even specifically stated: “… someone can’t just open up a bank in their garage …”. 6minutes later he said Dodd-Frank was destroying lending and hurting the middle class and needs to be repealed because it was poorly written/implemented regulation. Of course he later said he would mythicallyreplace the regulation somehow since he does like some of the elements just not the concept of documenting the process for large banks to wind down if they fail in the future. Interestingly enough, identifying a living trust for the large banks is exactly what a Venture Capital Managemnt guy would insist on if he were writing his own contracts for regulation. Even things he likes are things he dislikes before he eventually likes them again. He must have incredible arguments with himself ( to be a fly on his wall would be a real treat).

    You have successfully identified exactly why the Consumer Protection Bureau was formed and why regulation is necessary – not just the cherry picking of the regulation one person might like.

    • Thanks. Obama had a chance to mention this great success and I was waiting for him to do so, but he did not. The American people would have reacted well to that.

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