U.S. Senate Paves Road for Final Passage of Wall Street Reform Legislation

Press Release

The U.S. Senate took an important step today by securing the 60 votes needed to pass Wall Street reform. The bill, which will be sent to the President for his signature following a final vote in the Senate, seeks to bring responsibility and accountability to our financial system. U.S. Senator Frank R. Lautenberg (D-NJ) voted in favor of the bill to help create a more stable economy and give families and small businesses confidence that their investments are protected.

"Passage of this bill will help restore confidence and transparency in our financial system," Lautenberg said. "For too long, American workers and small businesses were vulnerable to the reckless behavior of big banks. This reform package reins in the abuses of banks, and puts a new watchdog in place to protect consumers and ensure financial institutions follow the rules. New Jersey families and small businesses have suffered enough -- these reforms will continue to move us on the path to recovery by encouraging new growth and creating a more stable economy."

Highlights of the Wall Street Reform and Consumer Protection Act

Eliminates Hidden Fees and Abusive Practices: Ensures American consumers get the clear, accurate information they need to shop for mortgages, credit cards, and other financial products, and protect them from hidden fees, abusive terms, and deceptive practices.

Establishes Independent Consumer Watchdog: The Consumer Financial Protection Bureau will enforce new financial regulations to ensure fair, equitable and nondiscriminatory access to credit for individuals and communities. A national consumer hotline will be created to field complaints, and financial education will be bolstered through the new Office of Financial Literacy.

Credit Score Protection: Provides consumers with free access to their credit score if their score negatively affects them in a financial transaction or hiring decision.

Mortgage Reforms: Establishes a simple federal standard for all home loans: lenders must ensure borrowers can repay a loan before closing the deal. Penalties are established for irresponsible lenders who don't comply with new regulations.

Fair Swipe Fees for Retailers: Protects small businesses by ensuring merchants are not overcharged by debit card companies with unreasonable fees for debit card transactions.

Ending Bailouts: The bill puts in place regulations that ensure American taxpayers will never again be asked to bail out the big banks that are "too big to fail."

Transparency and Accountability in Financial Market: Eliminate loopholes that allow risky and abusive practices to go on unnoticed and unregulated -- including loopholes for over-the-counter derivatives, asset-backed securities, hedge funds, mortgage brokers and payday lenders.

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