Heck adds to anti-consumer record by voting against keeping predatory lenders off CFPB board
Yesterday, Congressman Joe Heck voted to undermine hardworking Americans by slashing funding for the Consumer Financial Protection Bureau (CFPB). What started as a bipartisan bill establishing three advisory boards to provide information on small businesses, credit unions, and community banks, was transformed by Republicans into a scheme to cut funding for the CFPB. Heck also voted yesterday against keeping predatory lenders off of the CFPB advisory board. To be clear, he sided with companies convicted of predatory lending on military bases and fraud against veterans and service members.
“Congressman Heck should be ashamed of his vote against the CFPB and his decision to protect those who have preyed on veterans and service members,” said DCCC Communications Director Matt Thornton. “Every time he cheerleads for this reckless Republican agenda he is actively undermining hardworking families in the 3rd District.”
BACKGROUND
Heck Voted To Cut Funding For The Consumer Financial Protection Bureau, Creating An Unnecessary Burden On An Already Cash Strapped Agency. In April 2015, Heck voted in favor of the Bureau of Consumer Financial Protection Advisory Board Act. The bill would establish a Small Business Advisory Board within the Consumer Financial Protection Bureau. According to the Congressional Budget Office (CBO), the creation and staffing of the advisory boards would cost $9 million over 10 years. This cost would be offset by limiting the amount of direct funding that the Bureau may request from the Federal Reserve for two future years. The CFPB projects that this bill would limit its budget by $45 million in FY2020 and $100 million in FY2025. The bill passed 235-183. [HR 1195, Vote #167, 4/22/15; OMB, 4/21/15; CBO, 4/03/15]
Heck Voted Against Motion To Prevent People Working For Companies Convicted of Predatory Lending On Military Bases, Fraud Against Veterans Or Service Members From Serving On CFPB Advisory Board. Heck voted against a motion that would prevent anyone employed by a company convicted of predatory lending on military bases, or fraud against veterans or service members from serving on a Consumer Financial Protection Bureau advisory board. The motion failed 184-234. [HR 1195, Vote #166, 4/22/15]
Heck Voted To Replace The Director Of The Consumer Financial Protection Bureau With A Commission, Undermining The Agency’s Effectiveness. In February 2014, Heck voted to undermine the Consumer Financial Protection Bureau. The bill “would replace the bureau’s director with a commission and subject it to the appropriations process … The bill, which would rename the bureau as the Financial Product Safety Commission, also would force the agency to get permission from consumers before collecting non-public data.” The bill passed, 232-182. [HR 3193, Vote #85, 2/27/14; Reuters, 2/27/14]
Heck Also Voted Against Protecting CFPB’s Ability To Protect Service Members From Payday Lenders. In February 2014, Heck voted against a motion that would protect the Consumer Financial Protection Bureau’s ability to protect service members from payday lenders, enforce sanctions related to ATM or private student loan fees, or alert consumers about personal information breaches. The motion failed, 194-223. [HR 3193, Vote #84, 2/27/14; CQ Floor Votes, 2/27/14]
Heck Voted To Weaken The Consumer Financial Protection Bureau By Allowing The Agency To Be Overruled By A Simple Majority. In 2011, Heck voted to limit the effectiveness of the Consumer Financial Protection Bureau (CFPB) which “has the authority to regulate financial markets in ways meant to improve consumer protection”. The CFPB, which had a single director, would instead have a five-member board. This legislation would also change the two-thirds majority vote by the Financial Stability Oversight Council to override a CFPB decision to just a simple majority. The bill passed 241-173. [HR 1315, Vote #621, 7/21/11; The Hill, 7/21/11]