But by sidestepping the limitation on overseeing automobile dealers, the regulator might have tripped a political land mine.
In 2013, the C.F.P.B. issued guidance designed to prevent banking institutions from allowing car dealers from having discretion to mark up loans. The agency argued that this prohibition had been necessary as a result of discrimination in financing and markups by dealers, a move that seems to have had some opposition that is internal the C.F.P.B. itself.
The guidance happens to be met with a intense pushback in the House of Representatives. The House Financial solutions Committee recently issued a study attacking the guidance not only if you are on debateable appropriate footing, but in addition for utilization of disparate effect practices, a sampling method that is statistical. The report, entitled Unsafe at Any Bureaucracy: C.F.P.B. Continue reading “The guidance happens to be met by having a intense pushback in the House of Representatives.”