Issue Position: Banking & Financial Markets

Issue Position

In the same way too little regulation and oversight led to the financial collapse of 2008, too much can be burdensome. The recent losses at J.P. Morgan confirm we have not found the right mix yet. We should either implement the remaining reforms passed in 2010 or get busy with updating regulations and oversight responsibilities.

One of the reforms from 2010 that should be funded and implemented is the Consumer Protection Bureau. Payday lenders, home refinancing schemes, debt restructuring firms, and others can take advantage of uneducated customers. I have seen this happen to young people in the military, away from home without good advice, their first steady paychecks and unethical people taking advantage of them. We may need to review the powers and authority of this agency, but we need to act to protect less educated consumers.

The Securities & Exchange Commission (SEC) is tasked with monitoring and regulating the stock market. Competitive markets are part of our economy. A key ingredient to competition is having competitors. Mergers and acquisitions of healthy companies by their competitors reduces competition, while benefitting stockholders by spreading overheads and allowing more control over pricing, benefits do not necessarily come to consumers or employees. The SEC must take a more active role in protecting the public interest by making sure markets remain open, fair, and competitive.

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