Saying he wants to give consumer groups a chance to generate more grass-roots support, House Financial Services Committee Chairman Barney Frank today announced he would postpone marking up a measure to create a new consumer protection agency until September.
Many of the largest financial services lobbying groups, including the American Bankers Association and the Financial Services Roundtable, are strongly opposed to the measure, which is a centerpiece of President Obama’s regulatory restructuring agenda.
CUNA and NAFCU have taken more nuanced positions on the creation of the agency, which Obama has suggested be called the Consumer Financial Protection Agency.
CUNA said it could support a new agency if it doesn’t preempt the enforcement powers of the NCUA, is allowed to preempt state rules and is required to streamline and modernize consumer regulation.
NAFCU has floated a suggestion to exempt all depository institutions from the agency’s purview.
Frank’s committee was scheduled to begin marking up the measure as early as Thursday.