Auto dealers are concerned about a federal consumer financial protection agency because they often broker loans, in partnership with banks or credit unions, for car purchases—in fact, they issue almost 80 percent of loans and leases used for car purchase. With $850 billion in outstanding balances, dealer-issued car loans comprise a market as large as the credit card market.
“While there is room for improvement, we believe this bill goes a long way towards creating a financial system in which all Americans can safely borrow, save, and flourish,” says Woodstock Institute president Dory Rand. “We support Sen. Dodd’s efforts to stand strong against the interests of Wall Street and create a bill that puts Main Street first.”
We must ensure that the result of negotiations is not a toothless and ineffectual regulator that lacks the resources and authority it needs to keep financial products safe, sustainable, and available.
If you are…
- Paying off credit cards that are charging you from 16% to 300% interest and penalties,
- Forced to use payday loans with interest rates over 200%,
- Unable to find credit to pay your household bills, and
- A small business owner dependent on credit cards to pay your operational expenses and increased health care insurance for you, your family and your employees
Then you know that Senate banking reforms need to kick-start small businesses and protect our families.
Let's make sure that the voices of the financial industry are not the only ones heard by Washington. Please call Senate Banking Committee Chairman Chris Dodd (D-CT) and Banking Committee Member Evan Bayh (D-IN) during the Americans for Financial Reform National Senate Call-In Week of March 1-March 4 and tell them to support financial reform that holds Wall Street accountable, including the creation of a strong and independent Consumer Financial Protection Agency.
Community development financial institutions, or CDFIs, play a key role in providing financing to small businesses, particularly those in traditionally underserved communities that have been hit hardest by the crisis.