Rep. Westmoreland: “Perils of CFPB with Credit Czar Elizabeth Warren”

Washington, Mar 16 –

WASHINGTON, D.C. – Today, the House Financial Services Committee held a hearing with President Obama’s ‘Credit Czar,’ Elizabeth Warren.  As the head of the newly created Consumer Financial Protection Bureau (CFPB), Warren was the mastermind behind much of the controversial Dodd-Frank Act passed during the last Congress, including the CFPB.  Since its creation, the CFPB has fallen under heavy criticism from many because of the virtually unfettered discretion the director will have over consumer related financial products and services, the very limited oversight Congress will have over this new agency, and the large amounts of funds available to it. 

“Why are we creating another federal agency with unprecedented control over financial products, with a huge bankroll, and with almost no Congressional oversight?” asked Westmoreland.  “The answer to problems within our private, financial industry is not more and more government regulations.  ‘The government is here to help you’ – that’s what we keep telling people.  Little do they know that help is going to hurt more than it actually helps.”

During the hearing, Westmoreland was able to discuss his own story with Professor Warren regarding his company, L.A.W. Builders.  As a small business owner in Georgia, Congressman Westmoreland has experience first-hand how overly burdensome federal regulations can hamper economic growth.

“I sought out a loan, a second mortgage, to go into business,” stated Westmoreland.  “I probably paid four or five percent more than the going rate.  And I’m proud to tell you I was able to repay that.  I was able to fulfill my dream of being in business for myself and I have been in business for myself for 30 years.  And what you’re talking about today…is preventing people from being able to fulfill the American dream when they know that they can do it.  They can meet the challenge.  But yet the government is going to tell them it’s a bad deal they can’t do it and not allow businesses to make those kinds of loans.  That’s wrong.”

Westmoreland opposed the creation of the Consumer Financial Protection Bureau and continues to oppose it today.  A video of the congressman’s discussion with Professor Warren is available online at www.youtube.com/replynnwestmoreland.

Source: westmoreland.house.gov