CFPB's data-mining on consumer credit cards challenged in heated House hearing

The Consumer Financial Protection Bureau was 'created' from the The Dodd-Frank Act.
[ 111th Congress, Obama , signed July 2010 ]

The Act specifically bars the bureau from collecting personally identifiable financial information on consumers.

But it seems the CFPB is somehow ignoring the law that established it in the first place !!

The House of representatives is asking questions and not really getting any clear answers.
[ surprise ! ]

Aside from this blatant disregard, it seems other laws are being circumvented as well, including conflicts of interest in awardings of contracts that may relate to this data mining operation.

Ironic since part of their own About Us is:

We supervise banks, credit unions, and other financial companies, and we enforce federal consumer financial laws.

Write rules, supervise companies, and enforce federal consumer financial protection laws

Restrict unfair, deceptive, or abusive acts or practices

Enforce laws that outlaw discrimination and other unfair treatment in consumer finance

But there's a different story:

Consumer Financial Protection Bureau officials are seeking to monitor four out of every five U.S. consumer credit card transactions this year — up to 42 billion transactions – through a controversial data-mining program, according to documents obtained by the Washington Examiner.

A CFPB strategic planning document for fiscal years 2013-17 describes the “markets monitoring” program through which officials aim to monitor 80 percent of all credit card transactions in 2013.

The U.S. Census Bureau reports that 1.16 billion consumer credit cards were in use in 2012 for an estimated 52.6 billion transactions. If CFPB officials reach their stated "performance goal," they would collect data on 42 billion transactions made with 933 million credit cards used by American consumers.

Breaking Bad?

In a related development, Rep. Spencer Bachus, Hensarling’s predecessor on the House Financial Services Committee, told the Examiner he believes CFPB violated at least two federal laws by using the impartial U.S. Trustee Program to gather bankruptcy data as part of the data-mining campaign.

The Dodd-Frank Act, which established CFPB, bars the bureau from collecting personally identifiable financial information on consumers and prohibits it from regulating practicing attorneys.

Bachus said CFPB may also have violated the Fourth Amendment, which entitles Americans to be free from government interference or intrusion in dealing with their legal representation.

CFPB's data-mining on consumer credit cards challenged in heated House hearing

So this is Progress ?

Who's Kidding Who ?

reply to post by xuenchen



The criminal pushing for this is the same guy Obama appointed illegally trying to say it was a recess appointment as well. So what do "they do" put him in legally! Then he has the balls to say this is "nothing like the NSA spying on the American people!"!

Washington DC needs an enema and fast!

reply to post by xuenchen

The CFPB was also distributing financial records and subverting the proper procedure of the bankruptcy courts, I will have to go find the link.

I was thinking about putting it up but it seemed a little too 'banky' for ATS!

seeker1963
reply to post by xuenchen

 

The criminal pushing for this is the same guy Obama appointed illegally trying to say it was a recess appointment as well. So what do "they do" put him in legally! Then he has the balls to say this is "nothing like the NSA spying on the American people!"!

Washington DC needs an enema and fast!

Definitely hypocritical in 'Capitol' letters !!

They need to change the spelling too.

It's more like 'Watchington D.C.'

here's one big reason the CFRB is doing this:
www.mcclatchydc.com...

here's another reason:
www.consumerfinance.gov...

oh, and here's a noteworthy tidbit on how the republicans are looking out for consumers:
www.huffingtonpost.com...

I know this is a stretch for some of you...but the CFRB might be trying to find out how the companies are screwing consumers and they need more than heresay and testimonials.

reply to post by jimmyx


The government knowing what I buy with my credit card has NOTHING to do with trying to catch bankers doing illegal acts against consumers!!! roflmao

After all, how many bankers have been prosecuted by our justice department?????

Go ahead Jimmyx, answer that one for me!

jimmyx
here's one big reason the CFRB is doing this:
www.mcclatchydc.com...

here's another reason:
www.consumerfinance.gov...

oh, and here's a noteworthy tidbit on how the republicans are looking out for consumers:
www.huffingtonpost.com...

I know this is a stretch for some of you...but the CFRB might be trying to find out how the companies are screwing consumers and they need more than heresay and testimonials.

The overdraft 'protection' for a fee and the arbitration issues have zero to do with the data mining.

The CFPB already knows all that, and legislators knew all about those issues as they were passing the Dodd-Frank law. So who's to blame for THAT boondoggle ?

And as for the recess appointments by Obama that were ruled illegal by courts, they have zero to do with the data mining.

And any of the above have nothing to do with the fact that the CFPB has already broken several laws !!!!

Especially obvious is the FACT that Richard Cordray, Director, is withholding information (like all good Obama appointees do). If they were so forthcoming and honest, why not just answer the simple question in front of Congress ?

reply to post by xuenchen


At least he didn't say it was "classified"!

Your right though! He did absolutely refuse to answer the questions!

Business as usual for this administration..............

Keeping the banks in check. I like it.

Of course, the House wouldn't like that. So I can see why it's making right-wing news.

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