Washington, D.C. – The House Financial Services Committee passed on a vote of 39-29 legislation to create a new Consumer Financial Protection Agency (CFPA). If the bill passes the full Congress and is signed into law, this would mark the first time a federal entity has been created whose sole mission would be to safeguard American consumers in the financial markets.

USAction Program Director Alan Charney hailed passage of the landmark legislation:

“The banking industry and other elements of the financial services industry tried very hard to derail this measure. In a word, they failed. This new federal entity would consolidate and expand the powers of the federal government to protect consumers – to protect all of us. It would provide oversight to ensure that financial products are safe for consumers and won’t blow up in their faces, as we saw happen a year ago. This takes us one step toward creating a level playing field – giving consumers a voice in shaping the financial products that they need today.”