FTC On Dodd Bill: “Fewer ‘Cops On The Beat’”

“The Federal Trade Commission (‘FTC’ Or ‘Commission’) Writes To Express Its Strong And Unanimous Concerns With Certain Provisions In The ‘Restoring American Financial Stability Act Of 2010,’ which was recently reported by the Senate Banking Committee (‘Senate bill’).” (Federal Trade Commission, Letter To Sen. Hutchison, 4/16/10)

FTC: “We Fear That The Overall Result Could Be Less Protection For Consumers, And Fewer ‘Cops On The Beat.’” “As this complex measure is currently drafted, however, it could inadvertently restrict the ability of the FTC – an independent, bipartisan agency – to work with a new Consumer Financial Protection Bureau (‘Bureau’) to stop unfair and deceptive practices that prey on consumers of financial products and services. Moreover, as drafted, the Senate bill could even inhibit the FTC’s authority with respect to nonfinancial products and services. In light of this, we fear that the overall result could be less protection for consumers, and fewer ‘cops on the beat.’” (Federal Trade Commission, Letter To Sen. Hutchison, 4/16/10) ###

SENATE REPUBLICAN COMMUNICATIONS CENTER