February 04, 2013

Senate Republicans ready to block Cordray

Forty-three Republican senators on Friday sent a joint letter to President Obama stating they would oppose any nominee to head the Consumer Financial Protection Bureau until there are significant reforms, The Hill's On the Money blog reported.

While NAFCU supports revising the CFPB's structure, it has no expectation that the rules the CFPB has finalized for credit union mortgage lending and consumer credit in general would be affected in any way. "The real impact would be on the bureau's ability to exercise regulatory and oversight authority over non-federally regulated service providers," said Carrie Hunt, NAFCU's general counsel and vice president of regulatory affairs.

Friday's letter was similar to an effort by Senate Republicans to block Cordray's original appointment to the bureau. Meanwhile,the letter sent to the president last week lacked a couple Republican signatures, The Hill reported: Sens. Bob Corker of Tennessee and Rob Portman of Ohio. The report said Corker is instead focusing on legislative ways "to boost the bureau's accountability." It said Portman wrote to Cordray on Friday urging his support for such changes.