our ask cfpb -- cfpb resource -- our major moment in time decision of tools include paying for college, owning a home in planning for retirement. we have developed a new partnership with the financial services roundtable to work together in financial education in the schools in the workplace and on to have of older americans which is proving to be productive. listening and responding to consumers is central to our mission to continue to refine the capabilities of our office of the consumer response to receive process and facilitate responses to consumer complaints. we also continue to expand our public consumer complaint database which updates nightly and has populated by half a million complaints from consumers about the broad range of consumer financial products and services. we marked a milestone for consumer empowerment where we began to publish consumer complaint there it is which allow people to share in their own words their experiences in the consumer financial marketplace. reasonable regulations are essential to protecting consumers from harmful practices and ensure consumer f

the cfpb is working in this area now for three years. you have been gathering data as you've described, drafted approaches, talked about it with industry. now certain members of congress proposed imposing an additional two-year delay on the efforts. can you give us some idea about the impact of that delay and estimate how many more families will get stuck in a debt trap during that time? >> so, i feel keenly already the amount of time it takes to embark on a federal rule making in area baseline of no research previously. taken several years to do the kind of detailed research you asked me about and i described and taking the time to go through the processes in our statute and a small business review panel and rereport and now on the verge of actually proposing the rule. and it will take time to work through it and finalize it. i feel keenly that every day that passes if you think a rule is going to improve life, may or may not, if you think it does, you like it to happen as soon as possible. and delay for delay's sake simply means that i

with the cfpb have sent in a remuneration check? >> let's take the specific examples and take effect what we're talking about the in each of those three examples they would have to affirmatively opt in to receive a check. they would have to -- who have to respond and state that there were a minority borrower. i assume that each of you would not do that, otherwise you're committing fraud. let's go back. what we have is whether discrimination or against allied financial. 325,000 or so consumers were effected. they were charged higher rates based on the pattern of practice that systematically showed that minorities in certain categories paid higher rates. the question -- >> i'm not disputing any of the underlying facts. i'm talking about the redress of potential -- >> but what you do for the 325,000 -- difficult for them to comply or to set up a system that is reasonable for them to comply get the money? if there some systematic large number of people who fraudulently cut checks under the settlement, that's something we'd take close th

thank you for showing your support for the cfpb. it has been a strong watchdog for consumers since it started. nearly one million people, including 25,000 in ohio submitted complaints to the agency about their problems is with mortgages, student loans, bank accounts. at least one or two of those three corporate representatives on the panel complained about these one million people that were sending in complaints, amazingly enough. they were not industry lobbyists, i guess, that sent in the complaints. they focused on the financial industry's soundness and ignore the plight of consumers. in my view, these are complementary, not competing responsibilities. if people are treated fairly, the system is less likely to run off the rails. a former fed official claimed it did not have evidence to act against predatory lending. imagine that. it is a fact that foreclosures doubled from 1995 to 2000, they doubled again by 2006. according to that former fed official, one of our witnesses thursday on the corporate side, there was no data that sho

frank and created cfpb.hile the committee held hearings in the lead up to the passes of dodd frank, i can assure you the thousands of pages of text were being drafted -- were drafted before we had a single hearing. we often hear about the importance of data and data driven decision making at our hearings. i would like to highlight my can earns about the striking lack of data and data driven decision making that produced the law we know as dodd frank. it strikes me that this committee approve this legislation without deposing a single participant. the committee did not subpoena a single document from a single person or financial institution. now, we are starting to see the results of this effort. there is growing concern that despite the bureau's mission, the rules and regulations restrict access to credit, increase cost, and deny financial products to the consumers who need them. last year, the survey by the federal reserve found 47% of u.s. households are unable to come up with $400 in emergency funds witho

frank and created cfpb. while the committee held hearings in the lead up to the passes of dodd frank, i can assure you the thousands of pages of text were being drafted -- were drafted before we had a single hearing. we often hear about the importance of data and data driven decision making at our hearings. i would like to highlight my can lack ofout the striking data and data driven decision making that produced the law we know as dodd frank. thisrikes me that committee approve this legislation without deposing a single participant. the committee did not subpoena a single document from a single person or financial institution. now, we are starting to see the results of this effort. there is growing concern that despite the bureau's mission, the rules and regulations restrict access to credit, increase cost, and deny financial products to the consumers who need them. last year, the survey by the federal reserve found 47% of u.s. households are unable to come up with $400 in emergency funds without selling so

there has been a knowledge of some of these challenges by the cfpb. high cost manufactured housing loans have basically evaporated at this point since the rules went into effect. does that mean that lenders have reduced rates to get under the threshold? or is it that lenders have stopped taking applications that they previously accepted? mr. cordray: i don't think there was ever much high-cost lending in the manufactured housing market. i don't think it would be fair to say that there was a lot and it evaporates it. i think there never was much and people have shot away from it. -- people have shied away from it. comes in just under the threshold so that it does not qualify as high cost loans. the nature of this market it seems. having said that, you have raised this issue with me and some house colleagues have raised the issue with me and we went back and did a white paper to understand it better. seen,kground, i have there are areas of the state where this is going to be the practical means of finding housing on difficult properties. topography issu

went well beyond getting the judgment against it reversed and challenged the constitutionality of the cfpb. carol: it was set up to be a

cfpb exposed bad behavior from the companies that had no federal regulator.finally had strong mortgage rules in disclosure design for people who have to pay the mortgage. the loans are a prime example. more than a dozen states don't allow payday lending and my state didn't until a republican majority came in the 1994 elections and payday lending in essence was created. even that legislature because of abuses a decade later enacted a 28% rate cap. ohioans by almost a 2-1 vote defeated that even though payday lenders were outspending them in that campaign 40-1. since then the legislature saved to those and payday lending is alive and well. i hope they will finish these rules soon on payday lending and the cost is demanded. i look forward to hearing about the priorities and i understand this is the 61st time you identified before congress. i hope we can focus on issues before allowing you to as we say around here, do your job. thank you. >> that will be made part of your record. you may proceed as you wish. thank you. >> thank you, mr. chairman and members of th

cfpb was set up to be a consumer watchdog.dea was to protect consumers and now they are getting pushed back. >> the argument against them is that they are two independent. , theing unaccountable director of the agency, as you say, is able to draw his funds from the federal reserve. the appropriations process. secondly, can only be removed for cause by the president. he does not serve at the pleasure of the president. he cannot be removed. secretaries can be removed any time. this is being toggled together into a constitutional argument. the panel of the d.c. circuit that her the argument said it was quite sympathetic to the constitutional argument. what they will do about that is not 100 set clear. certainly, in theory, there is a next essential -- existential threat. and the focus on uber fight on how to classify its workers. likeer and companies it contender employees are independent contractors. in a legal sense, the boss of the workers. david: what would it mean to uber if a court said, they are not independent contractors

will do about it is not 100% clear, but certainly, there is, in erie, and existential threat to the cfpb on uber and the fight on how to classify its workers. david: we spoke to reporters josh. josh: that they are a technology platform that is connecting drivers and customers but not in a legal sense the boss of those workers. david: what would it mean to uber if a court said, they are not independent contractors, they are your employees. uber. how does that change the financial picture for uber? josh: since the 1940's, u.s. law has provided a host of protections to people who are employees. ranging from benefits like minimum wage and overtime to be right to band together in forth a company to bargain collectively with you. and so, it would be a real sea change in the business model. carol: what to do the workers want to hear? josh: there is a range. one driver was quoted as saying on the one hand, they feel like they are the boss, and other drivers have said, this is not a small business i am doing by being an uber driver. i do not have control over how much i charge or can give my busi

the cfpb, consumer financial rotection bureau, is a cop that watches payday lenders. that kind of cop is make a huge difference to families and to communities, but i know you're going to be surprised by this. the banks don't like the cop. and they are lobbying washington hard to try to get rid of that cop, to try to rein in that cop, to try to make that cop not get out there and do the job that needs to be done. we need to fight to keep the cfb cops strong and independent. so that's my first ask. e got to be out there to fight for the agency that's out there to fight for our families. [applause] i want to give you a second one in financial services. this is the area that i spend a lot of time in. we must reaffirm our commitment to the community reinvestment act. we must reaffirm our commitment to hold banks accountable when they don't meet those obligations. you know, look at it this way. we give banks all sorts of special privileges, and what we ask for in return is that they will serve communities. the american people are holding up our end of the bargain, but for t

one of the new regulators as a result of the financial regulations is the cfpb. they have a new office building for the employees downtown and it cost about $200 million. the taxpayers didn't own the building. they spent that amount of money to rehab it. i think that's a huge waste of taxpayer money. the director was here in march. he testified in front of the committee when he questioned him and i quote, it was the treasury who was in charge of all bureau operations at the time. my question to you is there have been follow-up letters that date back 288 days asking you specifically in who they were, who in fact did they say it was you folks are in charge made the decision to waste that kind of money. do you know who that was? >> i responded earlier that we did follow-up on this and provide the inspector general findings. >> it was dated june 16 and the treasury is working to respond to the request. the treasury is working to respond to the request. it was signed and i am asking you for a commitment. if you don't mind, can you give me a specific day when you get b

a study published by the department of education, the cfpb showed that the change in the bankruptcy code did not lead to lower prices, nor did it lead to expanded access to loans. because of that, it probably did not meet its intended goals. it is something that needs to really be looked at again as to whether it was an appropriate change. i will say, though, i think bankruptcy is very well-known that it is not dischargeable. what i talked about before about single issue cure all, many young people, even if they could file, would not because of the other effect it might have on credit. when it comes to federal student loans, i would like to see that people are really able to get into the programs that help them avoid delinquency. ms. dynarski: you cannot get into an income-driven plan for your mortgage. you can do that with student loans by getting into an income-driven program. the rationale behind them not being discharged through bankruptcy is that in another five or 10 years, you have a good year. you still have the education and at some point could be doing fine. as a society, we wa

earlier today and for much of this month, committee republicans will depose public servants at the cfpb, treasury and fsoc despite agencies providing thousands of pages of documents at the republicans' risk and soon i expect my chairman to bring up bills repealing the rest of our reforms. but democrats in the house are all too familiar with these attacks. are we not? . . republicans have row posed cuts to initiatives like medicare, medicaid, and food stamps. they have prevented us from debating america's sacred right to vote. most republicans voted against upholding the full faith and credit of our nation's debt. i could go on and on and on. and so to my colleagues, we have pulled the cover off of them. and we appointed -- pointed out to you in no uncertain terms how they are singularly focused on killing dodd-frank reforms and they are not exercising their oversight responsibility. and they are determined that they are going to have their way and they have it under the banner of overregulation. well, that old argument is tired, ladies and gentlemen. overregulation. every time they want

should be held liable in this fashion, but they are disputing the very structure of the cfp be, -- cfpbng the tremendous amount of power concentrated in the sole director of the agency is unconstitutional. >> and could be abused. this seems to be gaining some -- gaining a little traction with the judges? >> in the oral argument on april 12, at least one of the judges was very aggressively questioning the government's attorney and seeming to embrace phh is positioned. veryond judge also seemed sympathetic to phh area before the arguments even took place, the court had specifically told the parties we don't want to hear just about this case. we want to hear about this larger constitutional issue. that is a signal that the court is considering going in a bigger direction. mark: a lot of acronyms. is it independent -- is its independence under threat? >> it would be a as far as the government is concerned. the director of the agency can only be removed for cause. his funding comes not from congress through the normal appropriations process, but is drawn directly from the federal reserve. th

the cfpb is a cop that watches payday lenders. that kind of cop is make a huge difference to families and to communities, but i know you're going to be surprised by this. the banks don't like the cop. and they are lobbying washington hard to try to get rid of that cop, to try to rein in that cop, to try to make that cop not get out there and do the job that needs to be done. we need to fight to keep the c.f.b. cops strong and independent. that's my first ask. we got to be able there to fight for the agency that's out there to fight for our families. \[applause] financial services, this is the area that i spend a lot of time in. we must reaffirm our commitment to the community reinvestment act. we must reaffirm our commitment to hold banks accountable when they don't meet those obligations. look at it this way. we give banks all sorts of special privileges and what we ask for in return is that they will serve communities. the american people are holding up our end of the bargain, but for too long many banks have not been holding up

please follow even more closely the work that's going on at cpsc and epa and cfpb. all the of the agencies. there's great people on the inside that are trying to do what you want us to do. we ore trying to make the change that is you want us to make that we all believe in b for a better society but we need your help to do it together and i'm hopeful after this presentation, at least, you'll be inspired to go to cpsc.gof, safer products.gov and let's hear your voices even more. thank you, again. [ applause ] >> so i think we have time for one question. one. so -- >> better be a good one. >> if you're fast -- you could get to the microphone. go to the mike. and please identify yourself. >> yes. richard with the consumer federation of california. you mentioned the flame retardant chemicals. we have fought for about ten years now with the coalition of health, labor, consumer, firefighters and others to change a very bad rule that california adopted in the '70s that has become the defacto rule so every -- every piece of furniture we're sitting on is loaded with toxic and

the cfpb has now created an even playing field and small banks and credit unions are a bigger share of the mortgage market now than they have been in years. carefully considered reform provides relief to community banks without creating unintended cons againsts in a complex financial system with many players. unfortunately, the legislation before us today would, as my friends across the aisle say, over and over again, hurt the people it's trying to help. after we worked in good faith with republicans to come up with a smart, targeted reform, we are now attempting to use this issue as a political wedge. it is exactly that kind of thinking that sets the groundwork for the savings and loan crisis and that thousands of communities without access -- left thousands of communities without access to banking services. i urge my colleagues to oppose this bill, and mr. chairman and members, with that, i yield back the balance of my time. the speaker pro tempore: the gentlewoman yields back the balance of her time. the chair recognizes the gentleman from texas. mr. hensarling: mr. speakering how m

our businesses are regulated when we're lending money, but certainly the cfpb and other regulators are taking a hard look at it. we're looking and waiting for the regulation to come. personally, i hope we have regulation. i hope it comes on a national level so we don't all have to deal with 50 independent sets of rules and regulations. and we just hope that there's reason, prudent regulation put down. >> one of the things we want to do in this country is we want to spur innovation in this space. so how can we find a way to actually have some form of compliance but maybe the compliance should be different than at a traditional bank. do you agree, and what should that look like? >> well, i think it's going to evolve over time. i think there will be different sets of rules to play by. i think at the end of the day, it's going to be about transparency and making sure the borrowers know exactly what's going on and that the field is as level as it can be amongst the competitors. >> when you look at the space that you can disrupt and you look out five years, what does it look like? meaning, w