Will There Be a Consumer Financial Protection Agency? November 18, 2009

Host: American Enterprise Institute. The bill to create the Consumer Financial Protection Agency (CFPA)—one of the administration’s key initiatives for reforming the financial system—has passed the House Financial Services and Energy and Commerce Committees, but its future is far from certain. Respective committee chairmen Barney Frank (D-Mass.) and Henry Waxman (D-Calif.) sharply disagree about the structure of the agency. Financial industry groups, consumer groups, banks, and consumer advocates have expressed serious concerns with the agency. Representative Emanuel Cleaver (D-Mo.) perhaps summed up the situation best: "In the end, we have weakened legislation that the opposition is not going to support." Given the current debate, what is the prognosis for the CFPA bill in the House and the Senate? Can the legislation pass Congress in its current form, and if so, is it likely to be effective in protecting consumers without causing damage to the financial services industry? Join us for a panel discussion as we dissect these and other questions related to CFPA.