30 Burst results for "Cfpb"
"cfpb" Discussed on The Doug Collins Podcast
"To. This is something that's been out there for a while, people is either fighting in the distance. It's been discussed by us in Washington for a long time. Go back for just a second if you would, give us sort of the foundations of what this is, what it may be intended to be, what it actually is, and how everybody listening to this podcast is affected by the CFPB. Okay. Well, everybody is affected. Everybody who basically gets out of mortgage, the lack of competition, we had actually one of our co plaintiffs in a lawsuit. People and people that we were representing in a lawsuit against the CFPB longtime back that raised some of the same grounds as the Supreme Court is now hearing the community bank, which had not had a default in decades because they knew everyone. It was the state national bank of big spring Texas said that they couldn't make mortgages because weight of the red tape. And this is basically Elizabeth Warren said that you basically should regulate loan products like coasters that the disclosure was not enough. You would need to give a loan has proved to be faulty. I mean, never mind how we've given the way people use it a type of loan. The government needed to ban it. And you needed the consumer financial protection bureau just like the consumer product safety commission. I think about her analogy, especially now that the Biden administration wants to ban gas stoves for their own good. So it's not really good to have the government interfering too much in the market for kitchen appliances or from mortgages, but also one of the things that Barney Frank Barney Frank and Chris Dodd when they were making Don Frank was they put in and unaccountable head of this agency that could not be removed by the president, except for malfeasance. So it was not an independent board like, say, the Securities and Exchange Commission, federal communications, board and where you had people of both parties. It was like a cabinet secretary, but it was one that served a fixed 6 year term that could potentially outlast the one of the presidential administration. And on top of that, it was not accountable to Congress either because it did not get its appropriations from Congress. It got its appropriations from the Federal Reserve, the money the Federal Reserve makes from selling from selling dollars. And this agency with no accountability would have just incredible reach not only of over consumers that get mortgages, but just for any small business that extends credit, including like, say, an orthodontist that spreads out payments because can't pay for their kids braces, all at once or a butcher who may, who made you that, you've got plans with buying out pay later, this CSV has jurisdiction over all of that and yet no accountability. Somewhat the accountability was fixed in a court case with when they ruled that the president does have removal power. And of course, Biden, even though he's now complaining about the CWB should be independent was fired as he had the right to do. President Trump's appointee on the first day on the first day in office and appointed an acting and then got confirmed Rohit Chopra, who's the head of it now. And that's something the next Republican administration is going to do, but as long as they don't, as they are shielded from congressional accountability, they lack with the appropriations they lack that pillar of accountability that so many other agencies have and the Congress can't use its power of the purse strings to exercise what and make them more in line with the voters wishes..
Have You Ever Heard of the CFPB? John Berlau Explains
"Go back for just a second if you would, give us sort of the foundations of what this is, what it may be intended to be, what it actually is, and how everybody listening to this podcast is affected by the CFPB. Okay. Well, everybody is affected. Everybody who basically gets out of mortgage, the lack of competition, we had actually one of our co plaintiffs in a lawsuit. People and people that we were representing in a lawsuit against the CFPB longtime back that raised some of the same grounds as the Supreme Court is now hearing the community bank, which had not had a default in decades because they knew everyone. It was the state national bank of big spring Texas said that they couldn't make mortgages because weight of the red tape. And this is basically Elizabeth Warren said that you basically should regulate loan products like coasters that the disclosure was not enough. You would need to give a loan has proved to be faulty. I mean, never mind how we've given the way people use it a type of loan. The government needed to ban it. And you needed the consumer financial protection bureau just like the consumer product safety commission. I think about her analogy, especially now that the Biden administration wants to ban gas stoves for their own good. So it's not really good to have the government interfering too much in the market for kitchen appliances or from mortgages, but also one of the things that Barney Frank Barney Frank and Chris Dodd when they were making Don Frank was they put in and unaccountable head of this agency that could not be removed by the president, except for malfeasance. So it was not an independent board like, say, the Securities and Exchange Commission, federal communications, board and where you had people of both parties. It was like a cabinet secretary, but it was one that served a fixed 6 year term that could potentially outlast the one of the presidential administration. And on top of that, it was not accountable to Congress either because it did not get its appropriations from Congress. It got its appropriations from the Federal Reserve, the money the Federal Reserve makes from selling from selling dollars.
John Berlau From CEI Talks About the Economic Landscape
"To have you back on the show. I mean, lots going on. We're going to get to the CFPB stuff here in just a minute. But give me just sort of an impression. I mean, we've been talking about markets. We've been talking about, you know, over time when you've been with us before, that business issues and things going on in our financials. Where do you see us right now, John? There's a lot of folks out there that are still, you know, looking at the fan, they're looking at the now unfortunately unfortunately, having to look at it and getting into a political season, where are you looking at it right now? I look at the market, I never underestimate the initiative and entrepreneurship and innovation of the American people. No matter what politicians do to them, as my colleague Wayne Cruz says at CEI, we don't all politicians. You don't need a stimulus. All you need is just to remove the rocks on the that are keeping the garden from growing. And there are a lot of rocks, but people are find ways to get around them. And now with divided government with the Republican House, you have at least somewhat of a break and hopefully the courts that Trump appointed judges and maybe others who will see the who will take seriously the constitution will also give American entrepreneurs a break. Like in this case where they hopefully will place the consumer financial protection bureau some monstrosity created by Dodd Frank to be escaped the accountability of both the president and Congress under some constitutional constraints.
"cfpb" Discussed on Opening Arguments
"Didn't he try and change their name? He sure did try and change the name. He tried to change it to the bureau of consumer financial protection because I don't even know why. Anyway, that was a weird. Cool. Anyway, so in this case, the scumbag payday lenders lobbed everything they could think of at the wall to argue that somehow the CFPB or the BFC, B or whatever, lack the authority to protect consumers from their particular kind of predation because that was their business model. And I can not I can not overstate how ridiculous this complaint is like virtually all of it is like a grab bag of consensus that both the U.S. district court in Texas and the 5th circuit IE the most conservative circuit in the country found to be complete nonsense. Yeah, again, understatement. These arguments included first, a challenge to the CFPB's authority to make rules under the administrative procedure act that lost. Second, that the rules that they made were made by a director who was then retroactively determined by that sailor law case that I just described to have been quote unconstitutionally insulated from removal dalin lost big time because it's super dumb. And then that the bureau's authority violates the non delegation doctrine and we flagged that before we need to do a deep dive on it. It is one of the emerging weapons of the right that they are trying to use before the Roberts court to again stop the government from doing anything. Even in that one was a bridge too far for the 5th circuit. So, you know, giant silver polished platter full and nothing burgers. Yes, you would think, except there was one that they decided was a something burger. So the CFPB's SERP petition says that the plaintiff's quote briefly asserted that the CFPB's funding mechanism violates the appropriations clause, and they weren't kidding. So after losing at trial and appealing to the 5th circuit, the payday lenders spent less than two pages of their 30 plus page brief talking about this appropriations closed claim. Spin the stupid wheels when stupid prizes and they hit the jackpot. They were like, this is too stupid. I guess we'll stick this in here as like a random filler. And lo and behold, that was the one that the 5th circuit bid on. So the circuit struck down the entire payday lender will because they think that the CFPB is improperly funded. And like what? Okay. So if that one seems like a non sequitur to you, congratulations, your normal. Yeah. This decision is in fact 5th circuit levels of terrible. Well, no one accused those guys of being normal. And we'll go into how abnormal those weirdos are when we get back from the ad break. Hey everybody, this is an ad for zip recruiter. You know, lots of sectors of the economy are booming right now, including ecommerce healthcare, hospitality, just to name a few. If you need to hire qualified candidates ASAP for any of these industries or any other industry, you need zip recruiter. And right now, you can try it for free at zip recruiter dot com
"cfpb" Discussed on Opening Arguments
"So she resigned January 20th, 2021. She was replaced with the current CFPB director Rohit Chopra, and Chopra then reinstated one of those two payday lender rules, and that takes us to today. Cordray resigned to run against a wine for governor of Ohio. Yeah. Anyway. Fun fact didn't win. Okay. But The Oprah. That was, that's not. Well, that. Anyway, the rule Chopra put back in place is called the payment provision, and it's at 12 CFR section ten 41 8. And it just a quick note, CFR stands for the code of federal regulations, and it's exactly what it sounds like. So when Congress makes new laws, they go into the U.S. code, which is why we're citing USC all the time. It's not for the college or the sports conference. So anyway, when executive branch agencies make regulations pursuant to those laws, they go in the CFR. And the rule that Chopra made prohibits payday lenders from attempting to withdraw funds from a borrower's bank account after two consecutive failed attempts due to insufficient funds. That is bounce checks. Unless the borrower specifically authorizes additional attempts. So they can't continue coming to your account and trying to get money every time you bounce a check. And yes, payday lenders do strong arm the borrowers into authorizing those repeated attempts, but you know, it would be better to have a law that protects consumers than say not. Yeah, and in fact, that is another sub restriction on what was the common practice before this rule went into effect, which was payday lenders would when they handed you that giant four point font document to borrow the $300 in the first place. They would make you sign a pre authorization for future access to your bank account in advance before the first loan as part of that giant pile of paperwork that no one but me reads, right? So put it all together. The payday lender rules pretty modest, right? It doesn't solve the problem. It doesn't regulate these monsters out of existence, but you know, like you said, it's a step in the right direction. And the CFPB found quite sensibly that, you know, after a lender made two consecutive attempts to withdraw payments from your bank account and it fails and it bounces, quote, further attempts are very unlikely to succeed, yet they clearly result in further harms to consumers, right? In the form of the overdraft fees, right? So absent a new and specific authorization and not just that boilerplate pre authorization crap. The CFPB determined that it would be, quote, unfair and abusive. For lenders to continue to attempt to withdraw those payments. Right, that language is key because remember, an executive branch agency can not make a law, only Congress can make a law. What the agencies can do is enact rules when they're given the authority to do so by Congress, right? So here are the authority comes from the 2010 Dodd Frank act, which you might remember is that comprehensive response by Congress to the 22,008 financial crisis, which tanked the economy and led to all those foreclosures that displaced 10 million people from their homes, not great. Yeah, yeah. And so Dodd Frank, among other things, established the consumer financial protection bureau, and again Elizabeth Warren, that was her brainchild when she was a Harvard Law professor, right? And what they did was they created it as an independent bureau within the Federal Reserve system. That's right there in the law, right? 12 USC 54 91. And they authorized the CFPB to quote implement and where applicable enforce federal consumer financial law to ensure, among other things, that quote consumers are protected from unfair deceptive or abusive acts and practices. So put all that together. The Dodd Frank act said here. We've had unregulated capitalism that turned out to be terrible 10 million people were displaced from their homes. It tanked the economy. We're going to create a watchdog organization. And we're going to give that group a power to make rules that protect consumers from unfair deceptive or abusive acts and practices. And then, a decade later, that group that CFPB found that the way payday lenders try to collect loans is unfair deceptive or abusive. So case closed, right? Maybe not actually case closed, because as it turns out, the CFPB while not perfect. Actually, did and does a lot of good things because there are a lot of corporations out there engaged in unfair deceptive or abusive practices to our consumers. For example, in 2016, the CFPB sued and won a $132 million in restitution and another $40 million in civil penalties against a scumbag debt relief company called Morgan drexel. So, you know, when basically everyone who engages in unfair deceptive or abusive acts and practices towards consumers was hired by the Trump administration, one of those people's top priorities was to start a war on multiple fronts to try and nerf everything that the CFPB could possibly do to protect consumers. Yeah, and I don't want to get stuck on the rabbit trail, but they're most successful effort was a case called sail a law LLC versus the CFPB. That could be its own deep dive, maybe we will do it someday, but that was yet another Roberts court 5 four decision with the then four liberal justices in dissent that somehow found that Congress was not free to create the CFPB with any meaningful degree of independence from regime change, right? So as I alluded to, the original Dodd Frank bill provided that the director of the CFPB would serve a 5 year term and could only be fired for cause. And that was defined in the law as, quote, inefficiency neglect of duty or malfeasance in office. Now look, that's still pretty broad. That's still covers a lot of things, but, you know, it's not going to be fired at will. And so a different scumbag debt servicing firm. This one called sale a law decided to sue, arguing that Trump should be able to fire the director for any reason whatsoever because he's their God king and you know why not turn the whole thing into a political football despite the fact that Congress is clear intent was to do the exact opposite. And of course they won because, you know, John Roberts remains deeply conservative no matter what Politico tries to tell you every couple months. Amen to that sister. Anyway, that brings us to this lawsuit, which started life in 2018 back when both provisions of the payday lending rules were in place and Mick Mulvaney was active director, just as a little aside, remember that fun time when Mick Mulvaney was simultaneous like White House chief of staff, head of The Office of management budget and head of CFPB and I just looked this up because I was like, didn't this?
"cfpb" Discussed on Bloomberg Radio New York
"So much Karen greatly appreciate that. It's about a couple of minutes now. And something that I can make jokes about it, but since before it's advent, it has been the pinata of consumerism. Paul, I can never, ever. I mean, we have institutions that even if you like them, you hate them, whatever. You say, well, they've got integrity. They've got an integral part of our financial system. I can't say that about C, F key B let me define that first of all. It's day one, it's been a train wreck. The consumer financial protection bureau, it's heading back to the Supreme Court in a case that challenges the way it pays its bills. So if the high court upholds a ruling that the way the CFPB is Tom mentioned is funded is unconstitutional, this whole agency faces a fight for its existence in a divided Washington to help us bring us up to speed on that and we need some help. It is Evan weinberger Bloomberg law correspondent. Evan first explain to me, I'm sure our listeners and Tom, they know this. I don't. What is the consumer financial protection bureau? So the consumer financial protection bureau is an agency that was set up after the financial crisis and it was designed to prevent it's real genesis was all of the subprime mortgage funding that was happening prior to the crisis. It was designed to help prevent those kind of abuses that were targeting minority bars borrowers and poor borrowers and giving them loans they couldn't afford. So that's where it comes from. And now overseas payday lending and overseas all the big banks, a lot of the fintechs debt collection, all those high profile companies, but also sort of the lower profile company that allows the economy to keep functioning. All right, so that seems like a reasonable remit reasonable responsibility for them to deal with. What's the issue here as it relates to why would the Supreme Court get involved in anything related to this? Well, it's happened a couple of times. This one is because the U.S. corridors peels in the 5th circuit, which is Texas, Louisiana, and Mississippi. Ruled that the funding is unconstitutional. Unlike some agencies, it is not funded through Congress. It is technically a part of the Federal Reserve to get its money. It can request money from the Federal Reserve up to a cap and then any money that it has left over is left in a civil penalty fund or other funds that the CFPB controls. Evan, why does Jamie Dimon hate the CFPB? I don't want to personalize it. Good morning, mister diamond. Glad you're watching. The diamond already has gone through the 118 page. Goldman Sachs PowerPoint. Why do big bankers like mister Dimon? Why do they hate this thing? Can't they co opt this thing and make it their friend? Well, here's the thing. I'm not sure how much the big banks hate it. I think they have a mixed opinion about it. Yeah. The thing about the CFPB is that it regulates companies that nobody else in the federal government does. Nobody else in the federal government oversees independent mortgage bankers. Nobody else oversees fintechs like square or PayPal. Nobody else oversees payday lenders or debt collectors. So are these guys like, wait, wait, wait, this is important. Are these guys like a small business SEC? Not necessarily there are carve outs for small businesses like small banks with less than $10 billion a dollar. But the SEC is not going to look at quicken, right? Right. So you have to look at the mortgage lending operations there. So what does CFP be going to do, I mean, basically there are surrogate SEC for other FinTech stuff, right? Well, no, because they're looking not necessarily at the accounting on their books. They're looking at whether they're issuing loans that violate the truth and lending act or violate fair lending laws and things that nature. So it's really looking at parts of the operations that the SEC wouldn't look at and if they're not technically a bank, the bank regulators would be able to look at. So Evan, I mean, you mentioned some of these FinTech companies. I mean, this is a growing growing part of consumer financial services, everybody is spending more and more time with these online financial services firms. It seems like it really does need some regulation, some oversight, some protection, if I'm the CFPB, I'm like, hey, I want a more stable source of funding here. I want some congressional funding here. Is that even an option? Is that on the table? Well, it is on the table. I mean, you have to remember, most financial regulators aren't on the congressional appropriations process. The fed isn't FDIC. The office of the control of the currency is technically part of treasury, but they fund themselves through assessments on the banks of the regulator. The CFT funding it's slightly different in that it's part of the fed. But it's not out of it's not out of the norm to have independent financial regulators like this. In fact, one of the concerns they have, people have about this case is that the ruling tries to make a distinction between the FTD and the other financial regulators. There's concern that potentially the Supreme Court could say there's no independent financial regulators and that affects the fed and the other agencies as well. Evan Weinberg, weinberger, thank you so much for joining us today. Bloomberg law here on the mysterious CFPB. Have you ever met anyone from the sea of people? No, I'm not sure. But it seems like if you think about square and all this online stuff, somebody's got to take a look at this stuff, don't they? I am in a lot of money's going through those channels. I want to talk to you about March 1. Because to me, and I'm speaking completely as an amateur, Netflix had a hell of a 2022 editorially in terms of content. And so we've got Mandalorian coming out at some point, like maybe tomorrow I'm guessing. Watch the trailer, everybody's believing, except the fabulous actor, I believe from Mexico. He's clear. I think believe in. Spanish. I think I nailed that. How big a deal is this now, Paul? I mean, to me, we're mentioned in drive to survive, to me it's like we're basically where the recording business was when we were kids. Were you really need hits? Yeah. To make it go. I think what's changed, Tom and the last year for all these streaming companies, including Netflix and dizziness. Everybody else is the market has switched its focus. The focus for the first several years and you could argue for the entire life of Netflix was just subscriber growth market share gains getting more and more consumer eyeballs now in the last year it is really shifted to profitability. Like it has for a lot of parts of this market. Tech companies can no longer come public, which is with just a top line story they need a profit story as well. And I think that's true for the streamers. They need to be able to show a path to real profitability because media investors are used to really fat profit margins and we don't have that yet in the streaming business. But okay, all that's fine. Do you look at it as a prerequisite that we've got to go from 5 6 7 streamers? We have to have a combination of subtypes. I think we might, you know, I'm not really sure and I don't think the market's really sure yet what the optimal number of streaming services is. But I think as the traditional cable TV satellite to be continues to decline in terms of subscribers, more and more of these streaming services can be supported because the dollars are simply going to shift. And so, but I think if you're Netflix you're dissing, you're feeling really good about your position long-term, everybody else, I'm not sure. I totally agree. I mean, I feel like I got to watch one or two episodes of Wednesday just to be socially valid with the offspring. Exactly. I mean, these things are huge. Yeah, and there's so much of it. You can't stay on top of it. So people kind of have their favorites, it seems like. Yeah, we're going to have to see. This is a really interesting hour. I hope you stay with us folks for the morning as a churn to the market. Red and green on the screen is all I'm going to put it as well. Thanks to Michael Barr
"cfpb" Discussed on Bloomberg Radio New York
"It is ten 28 Wednesday morning in Hong Kong one 28 Wednesday afternoon here in Sydney. I'm Paul Allen. And I'm Brian Curtis. We're seeing a little bit of a relief rally today in Asian markets. We've had three prongs of selling this week. Part of it was the aggressive nature of the commentary from fed and other Central Bank officials. Part of it was the reopening in China how uneven that has been. And then yesterday's action by the bank of Japan all giving a downward push, but today as mentioned, just a little modest rebound here, round about a half a percent for quite a number of these markets. The standout is in Sydney. Get your details on that in a few moments, but for now, some of the top stories of the hour. Wells Fargo has reached a $3.7 billion settlement with federal regulators to cover allegations that for years it mistreated millions of customers. We've got more from Bloomberg China basic. This is in response to a lot of the issues we have seen them going through pre Charlie sharf era. This is foreclosed homes, illegally repossessed vehicles inappropriate fees, interest charge, a surprise overdraft fees. There's a lot of issues here over millions and millions, tens of millions of dollars worth of accounts. Again, remember this is a record fine for the CFPB, which was created in the wake of the 2008 crisis here to protect consumers. The $1.7 billion civil penalty is in addition to $2 billion worth of civil redress. Wells Fargo also agreed to a consent order with the CFPB without admitting to the agency's allegations. The bank also said it expects a pre-tax operating loss of about $3.5 billion in the fourth quarter, and that includes the CFPB civil penalty and remediation, as well as other litigation expenses. FedEx reported fiscal second quarter earnings of $3 and 18 cents a share. That was higher than the $2 and 80 cents that analysts were expecting. And the company's profit was lifted by price increases and cost cutting. That helped make up for a decline in package volume. We heard earlier from Bloomberg's lead class count. I think they're an early innings and some of their cost reductions. It's obviously very encouraging that they're adding $1 billion in cost reductions that they've quote unquote found. And I'm not sure where they found that, but they found it. And so it should be interesting to see them actually execute and taking those costs out. So if you like to billion, what about 3.7 billion? Well, FedEx is now said to be targeting expense cuts of that 3.7 billion in 2023. Investors like the story and the FedEx shares traded up in the after hours, 4.8%. Broadcom's proposed $61 billion deal
"cfpb" Discussed on Bloomberg Radio New York
"It's 8 28 Wednesday morning in Hong Kong, 1128 here in Sydney. I'm Paul Allen. And I'm Brian Curtis we will get trading underway in some other key markets coming up. We're trading now in Tokyo soul and also in Sydney, the nikkei is trading down about 8 tenths of a percent, but a pretty torrid rally underway in Sydney with the ASX up about 1.4%. A full look at markets and the shocking move by the bank of Japan yesterday, which has roiled markets to a certain degree. That's coming up in a few moments, but for now some of the top stories of the hour. Wells Fargo has reached $3.7 billion settlement with federal regulators. It's to cover allegations that for years it mistreated millions of customers, more from Bloomberg sonali basic. This is in response to a lot of the issues we have seen them going through pre Charlie sharf era. This is foreclosed homes, illegally repossessed vehicles inappropriate fees, interest charge, a surprise overdraft fees. There's a lot of issues here over millions and millions, tens of millions of dollars worth of accounts. Again, remember this is a record fine for the CFPB, which was created in the wake of the 2008 crisis here to protect consumers. The $1.7 billion civil penalty is in addition to $2 billion worth of civil redress. Wells Fargo also agreed to a consent order with the CFPB without admitting to the agency's allegations. The bank also said it expects a pre-tax operating loss of about three and a half billion in the fourth quarter, and that includes the CFPB civil penalty and remediation, as well as other litigation expenses. Two earnings now FedEx reported fiscal second quarter earnings of $3 18 cents a share analysts had predicted $2 and 80 cents a share on average. The company's profit was lifted by price increases and cost cuts. They helped make up for a decline in package volume. We heard earlier from Bloomberg's lead class cow. I think they're in early innings and some of their cost reductions. It's obviously a very encouraging that they're adding a $1 billion in cost reductions that they've quote unquote found. And I'm not sure where they found that, but they found it. And so it should be interesting to see them actually execute and taking those costs out. FedEx is now targeting expense cuts of $3.7 billion in 2023, FedEx shares are trading up now about 4.7%. China's broad budget deficit has hit a record so far this year, the fiscal deficit through to November is at $1.1 trillion. That's based on Bloomberg's calculations using data from the ministry of finance. The figure is more than double the same period last year and larger than in 2020. Strict COVID zero policies have been straining consumer and business spending. Surgeon infections in the past two months have worsened the Chinese economy even more. As a result, local governments are unlikely to see an immediate improvement in tax revenue and finances. It will also be harder to track the effect of the outbreak on the Chinese economy over the coming months. All right, the time now 31 minutes past the hour, it's time for world news
"cfpb" Discussed on Bloomberg Radio New York
"Approaching 7 29 in the morning right here in Hong Kong and in Singapore, 7 29 in the evening on Wall Street, chair Richard salon. And I'm Brian Curtis trading is half an hour away from Tokyo and Seoul and then two hours out. We'll get the action in Hong Kong and Shenzhen and Shanghai. One of the big areas of attention, dollar yen, one 31 90. Now we had that big move by the bank of Japan yesterday to make some adjustments to its yield curve control program and the yen went from one 37 down to this level of one 31 and change in just a matter of moment. So it was a shocking move and we'll get further details on this and look for the ramifications through markets all throughout the morning. Anyway, we'll get to the markets in a few moments, but for now some of the top stories. Yeah, Wells Fargo reaching a $3.7 billion settlement with federal regulators. It is to cover allegations that for years it mistreated millions of its customers here is Bloomberg's attack. This is in response to a lot of the issues we have seen them going through pre Charlie sharf era. This is foreclosed homes, illegally repossessed vehicles inappropriate fees, interest charge, a surprise overdraft fees. There's a lot of issues here over millions and millions, tens of millions of dollars worth of accounts. Again, remember this is a record fine for the CFPB, which was created in the wake of the 2008 crisis here to protect consumers. The $1.7 billion civil penalty is in addition to $2 billion worth of civil redress. Now, Wells Fargo also agreeing to a consent order with the CFPB without admitting to the agency's allegations the bank also said it expects a pre-tax operating loss of a ran about three and a half $1 billion in the fourth quarter and that does include the CFPB civil penalty and remediation as well as other litigation expenses. Two earnings now FedEx reported fiscal second quarter earnings of $3 18 cents a share, analysts had predicted only two 80 on average. The company's profit was lifted by price increases and cost cuts. They helped make up for a decline in package volume. We heard earlier from Bloomberg's Lee Costco. I think they're an early innings and some of their cost reductions. It's obviously very encouraging that they're adding $1 billion in cost reductions that they've quote unquote found. And I'm not sure where they found that, but they found it. And so it should be interesting to see them actually execute and taking those costs out. FedEx is now targeting expense cuts of 3.7 billion in 2023. FedEx shares at the moment in after hours are up 3.6%. Right, well, we're told that Elon Musk is looking for a new chief executive for Twitter. This does come after he asked in a poll on social media. If he should withdraw his role as head of the company, more than 10 million votes equivalent to 57 and a half percent were in favor of must stepping down several Twitter accounts posted to the poll may have been manipulated by bots and Musk responded to one with a single word interesting. Musk has been almost running Twitter single handedly since he boarded in October for some $44 billion and earlier this week he tweeted saying that no one wants the job we can actually keep Twitter alive and that there is no successor until the search for a new chief executive could be drawn out and not to yield results quickly. All right, the time 32 minutes past the hour time for global news
"cfpb" Discussed on Bloomberg Radio New York
"Drama and a lot of regulators expressing some frustration at about regulating or not regulating as it were, the crypto industry. SEC commissioner, Hester pierce. We've been unwilling to work with people in the industry and people who are interested in participating in the industry to develop guidelines that make sense for the industry. We've been instead preferred to take an approach that's rooted in enforcement and often the enforcement actions come very late and come after relatively small actors in the market and it is just not a good way to think of do the hard work of thinking about what a framework would actually look like. All right, and some people on Wall Street have been hesitant to embrace crypto because of the lax regulatory situation pierce was just talking about. Yeah, now some on Wall Street have embraced crypto more than others. And Bloomberg's Caroline Hyde moderated a panel discussion with American Express chairman and CEO, Steve squeri, and she had a chance to ask him all about it. And here he is on that and the investment environment at a New York economic club event at the New York Stock Exchange. Let's listen in. The one thing you have to be able to do in this particular job is you can't be just so singular focused that you lose track of what's going on around you and you know we look at everything and we've looked at cryptocurrencies from when they first started to gain traction. We've experimented with blockchain. We've got investments in blockchain. Companies we have a partnership with abra, where people earn cryptocurrency rewards. And you know, I've been pretty public that I believe that cryptocurrency is an asset class. And I think people like to invest in different asset classes and off you go. But I don't see it replacing the payment rails. And when I think about cryptocurrencies, I put that under the umbrella of digital currencies. And so I have, you know, you have digital currencies. You have the cryptocurrencies, your bitcoins, your Ethereum, and so forth. And then you've got your stablecoins. And then you've got governmental digital currencies as well. And I think there certainly is a play for digital currency in the economy. But it's hard for me to see right now, cryptocurrencies with the volatility with the limited supply of some of them as well. How it really replaces the traditional payment methods. The one thing with the traditional payments methods, they're not broken. They work. And so we'll see. Having said that, you never say never. And that's why you stay engaged. You listen to people, you know, there's a lot of people that have a very different perspective than I have. And they've made a lot of money. They may be a lot smarter. But I think when I think about sort of the business that American expresses in, which is, we're really a lifestyle brand that brings people experiences, provides access, and combines a payment facility with that. The horses that we have right now are working for us. And let's talk about the horses therefore that you invest in, the future of payments. As you see it right here right now, where are the areas that can be finessed? Sure, it's not broken here in developed world right now. Payment systems are worse in the emerging markets. We know that. But how are you investing in the payment systems we have right here right now? Yeah, I think that, you know, and I'll start it a little bit higher level. I think where we look at our investment is we look at it our investments in our membership model. I mean, when we think about when we think about our company, we think about people as members, right? So we think about investing in the membership model, which is when you take when you take what American Express is at its core, it is a payment facilitator. There are plenty of payment facilitators that are out there. And it's what we build around that, right? And so if you look at it, when you look at small businesses, we've built a transaction banking account. We have working capital loans. We made an acquisition to facilitate more B2B payments, which is a growth area for us. And so what we tried to do is to completely is to look to have as complete a set of assets around our customers as we can. On the consumer side, we've introduced the savings account. We had high yield savings. We introduced it a debit product. We've actually put revolving capability on all our products. And, you know, back in 2017, we put basically pain by now pay later on all our cards. I mean, you could go on to any card transaction on your card today and decide you want to pay that off in 6 or 12 installments. And how do you see that evolving? Because suddenly that's got the either regulators, right? Yeah, but ours is a little bit different, right? Because we're reporting to the credit bureaus. We are very clear about the terms and conditions. And consumers already approved. So the consumer that has bought that item or use that product, it's not a one time use. It's part of the membership model. And so I think that's what's very different. And look, I think there's a place for everything. But, you know, when I look at it and we looked at what a lot of those firms were doing, and it made sense for them for us, it made sense to provide sort of a complete set that you could revolve every transaction. And I think what you'll see is, you know, as some of these firms continue to move, they're going to need to expand their universe overall in the areas where you can actually do this by now pay later. But you're right. I mean, regulators are really looking at it because there's no line of sight from a consumer perspective. Do you think those sorts of upstarts will be more regulated and have to play in a space that you've been playing? Well, I think it's something that the CFPB is looking at, whether they decide ultimately to regulate or not will be up to them, but so we'll just see how it plays out. Talking of competition in a more traditional space. You really won back market share in terms of it felt at one point everyone was trying to repeat the annex formula. And I won't name names, but you overhauled your own offering. You now sing the market share is expanding from X Vis-à-vis some of the other more luxurious credit cards out there. Well, I mean, look, I think it's flattering to want to be replicated, right? And you know, I think that we play in a segment of the marketplace, which is what we would call the premium, the premium market spot. And in that space, people expect more than just payments. They expect access. They expect experiences. They expect great service as well. And you know, it is a lot of great companies out there with a lot of really smart people that are nipping at our heels. And that keeps us that keeps us focused and that keeps us continuing. And that's why I said before, we need to continue to revolve that membership model for us and stay one step ahead of Joneses. And I think, and I think we've done that. I think what we've also done though, and you and I have talked about this, we have expanded our retention capabilities. We are now retaining more customers and more billings than we had in the past. And I think that goes back to the decisions we made during the pandemic and standing behind them. I think the expansion of our offerings to have more sort of not just pay now, but pay over time has helped us as well. And so I think we're getting a higher share of our customers wallets. And as I said, look, we have 24% billings growth in the third quarter and most of that was by transactions. And so when you look at it, I think that that will translate into market share. The other thing I will say about this space is the payment space is a space that the revenue components that are driving this and we have three revenue components. We have fees on cards. We have fees from merchants and we have interest income. We're projecting that grows on a cagr 8 to 9% all the way out to at least 2030. I mean, I don't go much beyond 2030. It's sort of out of my planning horizon at this point, but as we sit down and we look at the marketplace, we like the space that we're in. It's a growing space. Very competitive. And that's why you have to
"cfpb" Discussed on Bloomberg Radio New York
"The collapse of the Terra stablecoin and its token Luna shook cryptocurrency markets and caught the attention of regulators and lawmakers in Washington I talked to someone directly involved in figuring out how to regulate cryptocurrency and stablecoins Director of the consumer financial protection bureau Rohit Chopra We have to look at actually what just happened last week A lot of people thought that a stablecoin was just going to be as good as a dollar just like depositing it in an FDIC insured account but they're learning that it's not So stablecoins are something that all the regulators are looking at Most stablecoin use right now is really for speculative trading to go in and out of cryptocurrencies And people wonder is it going to be one day used for consumer payments And many are thinking it's not ready yet Is it like a money market effectively Well in some ways people compare it to that but do we want that How do we want to regulate it And for what use when it's an investment the SEC is working on things But when it comes to consumer payments it's not just stablecoins it's all sorts of emergence emerging payment technologies We see on our mobile device and others And we need to make sure we understand everything from privacy security and when people have errors or deal with fraud that they have some recourse And right now many people don't know where to turn And let's be clear it's very complicated It's certainly more complicated than I'm going to understand You understand it much better than I do But you can understand why people are out in the marketplace saying in the meantime I'm losing money and we're waiting for regulation And in fact a lot of the crypto people are saying we want regulation We want some rules of the road So realistically when do you think we can have some foreign regulation decided on Well I think you're going to see a lot of movement this year in terms of The White House has asked all the regulators to publish a set of reports There's already activity going on at the regulators to to me we've got to crack this code of what do we want the future of our payment system to look like The fed is going to be launching its new fed now system which is going to create really real time payments for consumers and businesses But again people need to know that that stable coin is not the same as depositing it in an FDIC insured account Well I think you have caused some ripples and asking questions about payment systems that goes beyond cryptocurrencies To some of the big tech things like that people are saying well wait a second Where is this going How does it work How does this fit together from your point of view in terms of protecting the consumer Yeah I mean I look at what is happening in China where you see AliPay WeChat pay so ubiquitous and combining with their broader tech businesses We need to ask ourselves do we want Google Do we not want Facebook controlling a lot of flow of payments and using that data in ways we may not understand Let's talk about something a little more traditional which is banks And bank mergers Give us a sense of that There was a long time that it was thought that there was a pent up demand in the regional banks for mergers Are they getting together now Well you do see markets pushing for some mergers And right now at the FDIC the board has launched a review of our bank merger policy Bank merger policy has kind of been the same for a while but there's a big question right now to what extent does a big merged firm including regional banks What could that cause a threat to financial stability if it failed The markets have not particularly liked 2022 so far And you take last week was really brutal for a lot of investors as a factor of inflation is driving it to tightening fiscal monetary policy is running Where does it show up in terms of consumer credit Because I see some reports that people are putting up more and more in their credit card balances That's right During the pandemic credit card debt outstanding actually went down quite a bit People were paying down their balances And then in late 2021 it started coming up again And actually quite sharply I don't actually think that that's fully driven by inflation I think that's just people are getting higher wages spending more and there's a lot of pent up demand So we're watching that pretty closely We want to make sure that people can shop get good rates but I do expect it to continue to go up Of course inflation for many households it's really pinching them especially if they're buying a car Both new and used car prices new car prices are often selling well above suggested price And so that is something that we're seeing in elevated auto loans and a lot more auto loans outstanding People are getting higher wages we're not seeing delinquency levels go up yet but depending on how the shape of the economy moves We could see that change Are you seeing abusive practices creep in Whether it's through non disclosure or otherwise Well across the across the markets we're always going to have scams and fraud and we're going we're looking at that But I'm really focused on big firms that repeatedly break the law Small firms they often regulators lay the hammer down on them But a lot of the largest financial institutions even when they break the law over and over and over again it just feels like nothing happens We are changing that mindset and making sure that the price of violating the law repeatedly is much higher than the benefits Thanks to CFPB director Rohit Chopra Coming up supply chain rose continue with no end in sight I'll.
"cfpb" Discussed on Bloomberg Radio New York
"Collapse of the Terra stablecoin and its token Luna shook cryptocurrency markets and caught the attention of regulators and lawmakers in Washington I talked to someone directly involved in figuring out how to regulate cryptocurrency and stablecoins Director of the consumer financial protection bureau Rohit Chopra We have to look at actually what just happened last week A lot of people thought that a stablecoin was just going to be as good as a dollar just like depositing it in an FDIC insured account but they're learning that it's not So stablecoins are something that all the regulators are looking at Most stablecoin use right now is really for speculative trading to go in and out of cryptocurrencies And people wonder is it going to be one day used for consumer payments and many are thinking it's not ready yet Is it like a money market effectively Well in some ways people compare it to that but do we want that How do we want to regulate it And for what use when it's at an investment the SEC is working on things But when it comes to consumer payments it's not just stablecoins it's all sorts of emergence emerging payment technologies We see on our mobile device and others And we need to make sure we understand everything from privacy security and when people have errors or deal with fraud that they have some recourse and right now many people don't know where to turn And let's be clear it's very complicated It's certainly more complicated than I'm going to understand You understand it much better than I do But you can understand why people are out in the marketplace saying in the meantime I'm losing money and we're waiting for regulation And in fact a lot of the crypto people are saying we want regulation We want some rules of the road So realistically when do you think we can have some foreign regulation decided on Well I think you're going to see a lot of movement this year in terms of The White House has asked all the regulators to publish a set of reports There's already activity going on at the regulators to to me we've got to crack this code of what do we want the future of our payment system to look like The fed is going to be launching its new fed now system which is going to create really real time payments for consumers and businesses But again people need to know that that stable coin is not the same as depositing it in an FDIC insured account Well I think you have caused some ripples and asking questions about payment systems It goes beyond cryptocurrencies To some of the big tech things like that people are saying well wait a second Where is this going How does it work How does this fit together from your point of view in terms of protecting the consumer Yeah I mean I look at what is happening in China where you see AliPay WeChat pay so ubiquitous and combining with their broader tech businesses We need to ask ourselves do we want Google Do we not want Facebook controlling a lot of flow of payments and using that data in ways we may not understand Let's talk about something a little more traditional which is banks And bank mergers Give us a sense of that There was a long time that it was thought that there was a pent up demand in the regional banks for mergers Are they getting together now Well you do see markets pushing for some mergers And right now at the FDIC the board has launched a review of our bank merger policy The bank merger policy has kind of been the same for a while but there's a big question right now to what extent does a big merged firm including regional banks What could that cause a threat to financial stability if it failed The markets have not particularly liked 2022 so far And you take last week was really brutal for a lot of investors as a practical matter Inflation is driving it tightening fiscal monetary policy is running Where does it show up in terms of consumer credit Because I see some reports that people are putting up more and more in their credit card balances That's right During the pandemic credit card debt outstanding actually went down quite a bit People were paying down their balances And then in late 2021 it started coming up again And actually quite sharply I don't actually think that that's fully driven by inflation I think that's just people are getting higher wages spending more and there's a lot of pent up demand So we're watching that pretty closely We want to make sure that people can shop get good rates but I do expect it to continue to go up Of course inflation for many households it's really pinching them especially if they're buying a car Both new and used car prices new car prices are often selling well above suggested price And so that is something that we're seeing in elevated auto loans and a lot more auto loans outstanding So people are getting higher wages we're not seeing delinquency levels go up yet but depending on how the shape of the economy moves We could see that change Are you seeing abusive practices creep in Whether it's through non disclosure or otherwise Well across the across the markets we're always going to have scams and fraud and we're going we're looking at that but I'm really focused on big firms that repeatedly break the law Small firms they often regulators lay the hammer down on them But a lot of the largest financial institutions even when they break the law over and over and over again it just feels like nothing happens We are changing that mindset and making sure that the price of violating the law repeatedly is much higher than the benefits Thanks to CFPB director Rohit Chopra Coming up supply chain rose continue with no end.
"cfpb" Discussed on Bloomberg Radio New York
"Your Bloomberg type squawk sq UAW K on your term line Charlie how to that is a Bloomberg business flash All right Charlie thanks so much On our crypto radar today we have been watching shares of GameStop They've been dropping after reporting Yes accordingly loss that was wider than expected But web bush questioning the company's plans to launch a marketplace for NFTs we're talking about non fungible tokens And then Tim last week let's not forget President Biden executive order on cryptos putting the nation's two federal consumer protection regulators front and center when it comes to regulating digital digital money This feels like a big step forward It does unfortunately we have a great voice to chat all of it about all of it with Kathy kraninger craning her excuse me former director of the CFPB consumer financial protection beer Also vice president of regulatory affairs It's solid as labs Kathy how are you I'm great Tim Fantastic to be with you and Carol this afternoon Yeah good to have you back with us You're in Washington D.C. right now So tell us what the conversations if you're meeting with lawmakers or what the conversations you're having have been as Washington D.C. really tries to grapple with crypto No fascinating conversations obviously in timely and important given the crypto industries opportunity here to demonstrate given the war in Ukraine that we absolutely are complying with sanctions requirements are taking the actions that we need to take and in fact are part of the financial ecosystem generally And that's certainly what I would take from the executive order as well I'd say the reaction from the industry is overall incredibly positive I certainly see it as a balanced response out of the administration saying there are benefits and risks associated with the growth of digital asset use And really looking to make sure that future policy is fully informed by facts by examination by bringing the whole of government to the problem set and to the area and really thinking it through So I'd say it's a fairly positive Well okay so positive and I can certainly pick that up in your tone Kathy and I do wonder though when I think about D.C. and what's top of mind when it comes to this when it we're dealing with crypto is it concerns about consumer usage Is it concerns about transparency Which crypto is going to dominate I was reading a story from our Bloomberg intelligence team that they put out just to think about a week ago talking about Ethereum on course to become a global asset So what is it that's top of mind with these conversations I think what's top of mind right now certainly is the war and sanctions compliance and doing everything we can to shut down Russian oligarchs and their access to the financial system So that absolutely is top of mind But related to the executive order and overall I think it's a genuine desire to understand blockchain technology understand the benefit and some concern but I think in some respects perhaps a little just something that they really could continue to understand better but it's how consumers are using cryptocurrencies and whether in fact the investors understand what they're getting into I mean first advice certainly in anything you want to invest into is making sure you understand it And I think given the technical dynamics of blockchain technology and how it works certainly those who are perhaps of an older generation are saying do the consumers truly understand what they're getting into Do those older generations lawmakers and policymakers understand it Because unless you say understand a lot and I think we're all trying to still figure it out right And we're already moving out of the metaverse But I mean is it safe to say there's still a lack of knowledge in Washington about this Yes there are definitely is but it is growing I was very encouraged by at least not so much what happened this week but perhaps the hearings of a couple of weeks ago because lawmakers questions are getting more kind of granular in terms of understanding cryptocurrency understanding blockchain technology and the possibilities here And I think it really comes down to inclusion and access and really the opportunity to experience the technology As you noted it is a continual innovation path that continual evolution because now we're talking about decentralized finance and NFTs and the metaverse So it is an ever evolving set of issues but understanding and really putting the time in which is what the executive order points to putting the time in to examine the issues more holistically Think about what the best role of government is in this space and what kind of a regulatory framework can be laid out that really will keep the U.S. front and center as a economic power in our national security interests And I'd say that balance is definitely coming through in the questions and in the thoughtful engagement Kathy do you anticipate cryptocurrencies go from being something that a lot of people speculated on in the last two years to actually being the currency part of it and being used to buy and sell things beyond cross border transactions sending money to other people No I think that's I think we have a lot of definition of really and terminology in this space that confuses people I can tell you from my own standpoint I think the currency term is a bit of a misnomer on some of it Absolutely as you noted across border Facilitating transactions across borders is certainly one of those things investment in the underlying technology and the opportunity for Ethereum based and really smart contracts based transactions is really where I think this is going and what people are investing in and thinking about We got to run great to check in with you Cathy craning guard joining us here on Bloomberg This is a Bloomberg.
"cfpb" Discussed on Bloomberg Radio New York
"Adams he says please don't go out But the best to be off the road select DS and why do they job as they clean the streets So be careful bundle up good day to stay home If you don't have to go out Adams says if you are on the road you might get in the way of plows and emergency vehicles He says just let city employees do the job of cleaning up the mess New York's indoor mask or a vax mandate for businesses and schools will be extended in extra two weeks through February 10th that according to governor Cathy hogel speaking yesterday The mandate first put into place on December 10th requires businesses without mandatory vaccination policies to require all workers customers and guests to wear masks to prevent the spread of the coronavirus PBF Energy plans to restore production of some transportation fuels at its paws borough New Jersey facility We get more about that from Bloomberg's Charlie pellet Output of refined products was halted in late 2020 when oil consumption was decimated by COVID Sources say it will take several months to repair equipment needed to restart production units higher fuel output is welcome news for consumers in the northeast which has become reliant on imports because of a dearth of local production Charlie Bloomberg radio Global news 24 hours a day on air and on Bloomberg quicktake powered by more than 2700 journalists and analysts in more than 120 countries I'm susannah Palmer This is Bloomberg You're listening to balance and power with David Weston on Bloomberg radio This week the consumer financial protection bureau launched a broad review of what it calls exploitive junk fees the U.S. banks are charging consumers and for more on the agency's plans I talked to CFPB director Rohit Chopra Americans are concerned about rising prices and fee creep across so many products Last year we reported how overdraft and NSF fees totaled $15 billion tens of billions of dollars credit cards mortgage closing costs and we want to look at all of them to see where we can make sure this market is more competitive honest and upfront $15 billion a lot of money That was the banking revenue as you mentioned from 2019 that came only from overdraft fees It's something that is an issue for a lot of consumers But are the banks actually doing anything wrong Are they breaking the law Well in some cases the facts depend on the facts that are going to tell us if they're breaking the law The CFPB has done a number of enforcement actions related to overdraft practices related to other feed practices But I think I'm more concerned about again the creep of fees at the back end rather than advertising the true price upfront And we see this across the economy when you buy tickets online when you book hotel rooms and these bank fees add up to tens of billions of dollars that drain money from a family budgets I know you're asking for input you want public comment on this people to weigh in and describe what their most egregious junk fees are I just wonder what comes next Is that going to be followed by fines or other enforcement action against banks Well in some cases we're going to look at rules The CFPB is a part of the Federal Reserve system We now administer a lot of the rules that we took over from our partners at the fed They relate to bank accounts credit cards and so many other products but you're right enforcement may be part of this too If companies are colluding if banks are engaged in practices to manipulate how they can harvest morphe's sometimes that breaks the law and they'll have to face a liability for that How about crypto Traders face some pretty hefty fees in the crypto world I wonder if the CFPB plans to go there is crypto in your portfolio Well you know we're want to hear from everybody in terms of all the products that they're dealing with It's our authorities going to depend on the specific facts but as more and more people are transferring money whether it's peer to peer payments crypto or anything else We want to hear about the churn and the fees that they're incurring In some cases those fees may be way out of line with the actual cost or the service that they're getting What does this mean for the CFPB at this stage of the game as part of the Biden administration Are you looking at a more aggressive posture in dealing with this type of thing than what we saw for instance in the Trump administration Well look our job is to enforce the law and that's what I am going to do We want to make sure markets are competitive President Biden convened many agency heads and cabinet members And we talked about all we need to do to attack the lack of competition including in the financial sector where a handful of giants often dominate certain markets So at the end of the day we want to make sure that the more we have competition the more that prices are lower that people have more choices that we get more innovation And that's going to be top of mind for us at the CFP Is this a big conversation about inflation in disguise here Is that what we're really talking about I know the administration is found a number of ways to get to inflation It's a very narrow focused effort Is this one of them Well I see this as a long-standing problem You know when you go to the supermarket you can see when prices are going up When you buy things online some people can feel when prices are changing A lot of times in banking these fees are on the back end It's advertised as free or low fee but in reality people get penalized and many financial institutions make big money on this fee creep that we're seeing And ultimately the more we can make it clearer and competitive some of those fees might go away Some banks are already announcing they're getting rid of overdraft fees and NSF fees And I think we're going to see more of that Director you were once the agency's student loan ombudsman so you know a bit about this I wonder why does the Biden administration continue to resist calls to forgive student loan debt from the likes of senator Elizabeth Warren and other progressives Well you know that's really a decision for the education department for the CFPB They CFPB is enforcement action Have canceled debt especially when it's been illegally or legally originated We'll wait for a decision I am definitely worried about the return to repayment which is going to start in a few months We need to make sure that borrowers who have been cheated or borrowers who know their rights And I think we're all waiting for a decision on what might happen when it comes to student loan Thanks to.
"cfpb" Discussed on Bloomberg Radio New York
"Are on the ground already There is blowing snow very few sidewalks have been shoveled That said if you do shovel the snow the wind will likely blow it all back again Roads are another story a major thoroughfare like queens boulevard which I'm standing on now has seen the plows come by multiple times People are heating warnings to stay off the roads In forest hills queens Charlie Bloomberg radio New York State delayed a decision on whether to allow operations to continue at a power plant used for Bitcoin mining We get more about that from Bloomberg's Denny's fellow grani The department of environmental conservation's decision on this plan to operate by Greenwich generation holdings will now come by March 31st and that is two months later than originally targeted This plant is in Dresden in the finger lakes region of New York and the delay will allow the DEC to review thousands of public comments on the issue Environmental activists and the cryptocurrency industry have been closely watching greenidge's application for signs on whether New York will allow Bitcoin mining operations a dozens of dormant power plants across the state deduce Pellegrini Bloomberg radio T mobile U.S. is taking a stand it will fire corporate employees who are not fully vaccinated by April 2nd That according to a memo to staff obtained by Bloomberg news Global news 24 hours a day on air and on Bloomberg quicktake powered by more than 2700 journalists and analysts in more than 120 countries I'm susannah Palmer This is Bloomberg You're listening to balance and power with David Weston on Bloomberg radio This week the consumer financial protection bureau launched a broad review of what it calls exploitive junk fees the U.S. banks are charging consumers and for more on the agency's plans I talked to CFPB director Rohit Chopra Americans are concerned about rising prices and fee creep across so many products Last year we reported how overdraft and NSF fees totaled $15 billion tens of billions of dollars credit cards mortgage closing costs and we want to look at all of them to see where we can make sure this market is more competitive honest and upfront $15 billion a lot of money That was the banking revenue as you mentioned from 2019 that came only from overdraft fees It's something that is an issue for a lot of consumers But are the banks actually doing anything wrong Are they breaking the law Well in some cases the facts depend on the facts that are going to tell us if they're breaking the law The CFPB has done a number of enforcement actions related to overdraft practices related to other feed.
"cfpb" Discussed on Bloomberg Radio New York
"Our clients who are exchanges broker dealers market makers increasingly players in the D 5 space in crypto And what we're doing is really focused on bringing market integrity and transparency into this growing world of crypto So we identify potential manipulation in price and volume We provide those alerts to our clients and that very act of surveillance as it does in traditional markets really precludes a lot of bad behavior that is taking advantage of investors and consumers So it's important to have these capabilities in place and crypto industry at large has come a long way on that What is the bad behavior that consumers have to be on the lookout for Well really again this is a new and fascinating area clearly a lot of growth opportunity but as in any other area in asset class investors need to understand what they're getting into and in the crypto space as we saw and as I said it's absolutely improving But there are opportunities for those to manipulate because there's a lot particularly if you look at or arenas that are getting more and more on the cutting edge as every new thing comes forward But keeping an eye out for that insider trading issue that happens in traditional markets a little different in crypto So there are players who can engage in front running or minors in the deep 5 space either that trading is happening on black They can actually do front running in an interesting way as well and engage in sandwich attacks So actually pulling the rug out from underneath those who are seeking to engage at a certain price point and have that expectation So a lot of pricing manipulation activity that can happen If you're not looking for it and as I said that is where all this labs comes into play to really identify that preclude it from happening and we're talking to so many of our clients and providing that service for them Well it does definitely feel like a bit of the wild wild west when it comes to crypto We're still figuring it out There's often new entrance and just kind of know where it's coming from There's a lot of cryptocurrencies that are out there Maybe not all on the scale of Bitcoin or Ethereum But you definitely continue to see the growth there Cathy I am curious you talk about working with your clients So what is it that is a common thing that comes up that requires the surveillance or the risk monitoring What would be the number one or number two worry that comes up Well it really is around a price and volume I mean absolutely exchanges in others are looking at well I guess it starts to is the origination and destinations of funds That's where regulators were focused across the globe initially to preclude money laundering preclude financing of terrorism activity a lot of concerns around that Certainly of cybersecurity issues and ransomware concerns But then the next iteration really is also this market manipulation Have we all have a responsibility to protect consumers protect investors when they expect a certain trade to go through They expect that that price and volume is not being manipulated and they're not being ripped off and fraud's not happening So really again monitoring for that activity and looking for that type of behavior So the exchanges so much of crypto I guess it's worth saying right now 80 to 90% of the volume and trading is really centralized So it's not happening on the blockchain right now You have centralized exchanges that are where the trading activities happening which is a big use case for our monitoring So there is an opportunity really to bring transparency to that area through the monitoring to know that you're being protected in that system But again at D 5 as you look at the trades happening right on that blockchain it's a completely different use case and different types of manipulation that can happen there And it's just with the evolving technology and evolving space we have to constantly be looking for again behaviors that are frankly out of out of the norm to we have we have the capability to understand the different actors engage the different institutions and the different retail entities and say okay are they operating like a peer are they operating in a way that makes sense Yes Yeah We're really kind of it does feel like we're in that early phase of just learning so much to figure out kind of where things can potentially go wrong or hurt certainly investors Kathy thank you so much Really appreciate it Kathy craning her She is former director of the CFPB that was during the Trump administration She's currently VP of regulatory fares at solidus labs joining us on the phone in New York We're listening to Bloomberg This is with prime get lightbulbs delivered in a day Edison would be proud Indeed I'm proud Get your everyday essentials delivered fast Change everything We use to take our freedom of movement for granted not anymore It's not just that people work for the airline and it's natural to feel grateful for the things that kept you going Does America have a chance to lose our advantage Can we get to herd immunity fast enough so that would be in good shape But really we were just doing.
"cfpb" Discussed on Bloomberg Radio New York
"President Biden they're giving a speech on the strength of the economy and his vaccination campaign not taking any questions He says he'll be back to take questions after the passage of his bills So maybe he won't come back We're not sure if they'll pass those bills which is why I said that But I'm sure we'll hear from him again very soon He is also saying that this COVID pill is promising from Pfizer and a lot of people are starting to talk about whether or not this pill could be a game changer Surely if it works so well the drive to vaccinate will lose a little bit of momentum So we're going to continue to follow all of this stuff I want to just get a couple of little housekeeping things out of the way here on the program Paul swe is down at his Alma mater spending some time back in college and Shelley bassi is here with me She's got a step out early for an event and I just wanted to quickly talk about what you're doing this afternoon Yeah I'm very excited for this conversation It's with the CEO of a firm which is a leader in buy now pay later one of the biggest threats of the banking system right now to the point that Jamie Dimon even called out a firm itself in his earnings call recently with analysts So we'll talk about Jamie Dimon and we'll talk about crypto markets and we'll talk about the future of payments All right pretty interesting that when I was a kid that was called layaway You know you would go to Sears and you wanted this lawn mower but you didn't have the $127 So you would put it on layaway And this is I guess by now pay later except for you get the stuff right away right That's a difference Well the thing is there's a big misconception that there's no interest rate associated with these products And that's not true Sometimes you are paying interest depending on how long you're extending these loans for There's fine print in a lot of these new products as well So max is going to talk about what to look out for Clearly the new head of the CFPB will be looking out at these products as a consumer protection financial bureau And it's going to be it's going to be interesting how it all plays out We haven't been in a down market yet for a lot of these products Some companies might lose a lot of money No it's definitely the hot new thing Right now And I'm looking forward to seeing that Can we watch it on bee live or is this watch it You can watch a live go on the terminal we'll put it on Twitter and on the Bloomberg website later on And you know keep an eye out All right live go to watch which finale does I think that's right around noon today Let's get over right now to I mean Ben said technology and media analysts for Bloomberg intelligence to discuss what was the hot new thing and seems to have lost a lot of its luster peloton absolutely soared during the pandemic I mean the shares were trading pre-pandemic for 20 bucks apiece and we saw at one point peloton touch when we pull up the piton At one point it touched a $167 Now we're back down to 57 bucks What's the story with this was the great new thing Is it no longer what everyone's going to do after lockdowns are over And thanks for having me on But yeah I think that's the main question And the one topic of discussion these days on peloton is the weaker demand right Because supply chain issues that everyone is suffering from the same impact That's not the major thing But one penalty mentioned they had weaker demand as expected especially on the new treadmill which is a lower price that is the issue there So that's why you put that together with non new products coming out and that's the result that happened yesterday and the expectations for this year are much lower So I'm wondering how long kind of these issues go on for peloton Obviously there's not just the fact that people are getting outside more often I guess But there's also the fact that they have a lot more competition and a lot more people creating just the same product Absolutely So I think from peloton standpoint you're right The faster recovery of the economy supplies them a little bit So to answer your question about the growth expectation and competition it's probably going to be just for them to focus on other products Because the new treadmill as I mentioned that was going to be like their hot month product this year and especially early next year Because when you look at the market that is two to three times larger than bike market So the treadmill market is three times larger than the bike market And that hasn't really picked up Sales were slow and if you don't have other products other than cardio looking at other verticals like strength they might lose some competitive edge But for now they're still number one for at home fitness and it doesn't look like a competition at least for my time is an issue now It's more about issue or demand All right So what do you think about the shares from here on out as I said we've done kind of a round trip throughout the pandemic Do they have any further to fall Good question and it's hard to justify because it's when you look at this company very quickly The hardware margins are used to be 40% Now the 30% 20% and the client And that used to be most of those sales Now a third of their sales are subscriptions right And subscriptions are now have 70% margins and used to be 50% margins So to answer your question it just depends how you validate your discontent If you evaluate from a harder standpoint it's there is more downturn but if you go to catch you off there unfortunately I mean Ben said Let's get down to Nathan hagar and Washington D.C..
"cfpb" Discussed on Consumer Finance Monitor
"Congress overrode the rule that the analysis still applies and that courts should defer to the occ's analysis that it it it published when adopted the rule. That's probably not an argument is going to get very far among other things. I think we can probably expect that the occ is not going to be supportive in amigas briefs like it was in under the former comptroller. Interestingly and importantly the madden anti the mandate fixed rules were not overridden by congress. could not have been. Pass the time deadlines mindy indicated and so far controller and the ftse continued to support their mad and fixed rules in litigation. A one with that. Keep in mind that we did have an election. Last november and democrats took control both of congress and of and of and along with that gives the president the ability to make some changes in the in the agency's the comptroller of we haven't seen a a an actual nominee yet but we do have an acting controller that president biden appointed Fdic chirp mcwilliams term expires in twenty twenty three but the unlike the occ is governed by a board of five directors. One of which is now vacant and the others one one being the cfpb director and one being the ocd comptroller would be filled by president biden so president biden could have four of directors appointed. Which would most certainly outweigh the views of chair mcwilliams. In any rulemaking that the fdic would propose so the reconstituted occ ftc fdic could reverse the madden fix roosevelt. When made rules the occ could in theory adopt a new true lender rule. We don't really expect either of those things to happen. Among other things as i mentioned the true lender rule the cra specifically says that the controller could not adopt a a rule of substantially the same kind of open the air what substantially the same means It's whether it's the entire topic or whether it it is the the final policy outcome which certainly would be up to interpretation but also if the agencies were to take any action to repeal the at madden fixed rules to adopt a new valid win or adopt a new true lender rule that start the regulatory process all over again they'd have to publish a proposed rule c comments of at least thirty days and then of course any rule that they did adopt would just like the others have been subject to judicial challenge and of course subject to review under the conduct cut by congress under the i think now we'll transition into what's going on host of override Things have been going on in the courts for some time on. But we also have some developments in state statutes and state regulatory actions alternative active mindy the huron. So as ron said with the occ true lender rule off the table and questions as to whether the new occ will issue a different rule It's more important than ever for the industry to be on top of what has been going on in the courts and on other fronts so on on slide eighteen you can see a discussion of Some litigation that happened in colorado beginning in twenty seventeen against to fintech More let and avant so in two thousand seventeen. The colorado g sued more let and avant respectively claiming that they not their partner..
Shuling Guo on Pharmaceuticals and Cystic Fibrosis
"What is bro says. How does it affect the body Cystic fibrosis all. Cf for sure is dallas being genetic disease. It's one of the most common life threatening inherited. Diseases affecting about seventy thousand people in the world and about half a witch in the united states have has been around for a long long time even in medieval times. They are were folklorist talking about if you kiss a childhood hey saudi. That child will soon die but it was not until the nineteen thirties that this disorder was recognized. Dr dorothy anderson who was a pathologist at that time working at a hospital in new york discovered any name. This disease cystic fibrosis. Since then there has been tremendous amount of research to understand the disease. develop diagnostic tools. And of course develop treatments for this disease when dr arnesen The disease he said something like fake on sticky mucus buildup in the lungs in the pancreas and auto owners leading to life threatening breathing and digestive problems so after so many years of research I think you made quite a bit breakthroughs. For example in nineteen fifty five. A sweat has to became available so this is to really measure the salt concentration in the sweat and this till today is still one of the gold standard for cf screening and then in nineteen eighty nine. The more likely cause of cf was discovered. It was found that it's the defect in the cfpb. G thou these two. Cf
"cfpb" Discussed on Radio Fajri 99.3FM
"Yeah make did he john. John kabalu insecure. Gotten polity up an outfit or wrong. Gelasio oh come off the bye. Resume data kanada newly. Why did that any later. Jim brown by get down A little upbeat bra bazaar. john kicked out. Who took me to. I didn't get that email fantasy. W mommy here as they're gonna did a blue bunia underneath the the cfpb gun get their idea what to do on daly besotted by the among organic fantasy to it one yes a serie brutal yeah nacogdoches producing an email here behind island. Eli get the bucket idea. Manila three percent ended up there at the end but drew under them. The young young junkie duck. Welcome to delighting beta kappa. bunia young. And let me say maybe said jedi jedi young to do rimirad to three buber. Buluan sutlej utopia woolens bridget. Adoptable it'll be after all the bendix daddy studios. Two million per hood is really. My power is now any money. It'll be outlawed. Yeah we'll get the then be some Smocking bazaar maga komo of lillian mccullough. We yet up musty young fantastic. It'll it is someone in the clearly lost mahan while getting lee at dum lana asked. Fbi little to number house. One year. That a gun to pass. It doesn't amazon in the studio the video in yourself. Why am pinning. Did you see diane salvatore here in to the rope. Laurie i here had up in. You put on wounded in revoke by maria. What grow at a guy we. Yeah yeah yeah. Yeah you to believe glass coletar. What bullet tequila gas ducal. Obviously this dopey and a couple of hours then. I thought incidents why a night there were able to began to last night. I dedicate utah. John by then. Don quixote wondering romania in the chill to multiple blessed with a luma unbundling wetness c. b. sato kelly tara asia bake winning up with bread that can mccain over the because some of the reality was again but a tight. Yeah yeah this is our clear document by the blast. Plus bruce gap not opens a blessed blessed that come get us meeting. Radio vitally putting the quincy columnist could get combatti..
President can fire CFPB director at will, but agency can operate
"The Supreme Court has decided that the consumer financial protection bureau structure violates the separation of powers, but that the directors removal protectionist several you will recall that the the CFP was designed so that the director could not be removed by the president of the United States the supreme. Court is holding that the CFP violates the separation. Separation of powers, we go on to hold the directors removal production of several from the other statutory provisions Barron on its authority. The agency May therefore continue to operate, but it's director must be removable by the president at will due to the separation of powers that actually gives win to conservatives in a way that they wouldn't. The Consumer Financial Protection Provisions Collapses in the Way Elizabeth Warren wanted. It's structured and interestingly enough. That is John Roberts. Giving a big conservative win in theory, but has actually small ball now. How is that well? Conservatives had advanced the case on separation of powers in a unitary executive, and Roberts has conceded all of that in his decision on this. But at the end of the day it's not the wind. Conservatives wanted conservatives one of the win on the on the abortion clinic
Supreme Court struggles with independence of Consumer Financial Protection Bureau
"The consumer financial protection bureau was created with the aim of protecting consumers from abuses in the banking and financial services industry today at the Supreme Court the court's conservative justices voiced skepticism about the independent agency NPR legal affairs correspondent Nina Totenberg has more in the aftermath of the two thousand eight financial crisis Congress created the consumer financial protection bureau lodged in the offices of the federal reserve board the bureau has enacted new rules to safeguard the mortgage market and protect consumers from abusive and misleading practices involving everything from credit cards to debt relief the CFPB is headed by a single director with a five year term and in order to ensure that the director is independent the law bars the president from firing him for any reason except for malfeasance inefficiency or neglect of duty that independence is being challenged as unconstitutional by a firm that's being investigated for misleading practices and by the trump
Supreme Court Eyes The President's Power To Say 'You're Fired!'
"At the Supreme Court today the trump administration is trying to make it easier for the president to replace the heads of the country's independent regulatory agencies. The administration is asking the court to restrict or reverse a decision that dates back more than eighty years. Npr legal affairs correspondent Nina Totenberg reports in two thousand eight the. Us economy was on the brink of financial disaster. A rising number of homeowners quite simply can't pay their mortgages for closures have hit a record high. The National Association of Realtors reported the worst month dropping existing home sales since they started keeping track in the late nineties. Further meltdown in the mortgage market had investors. Heading for the exits in two thousand nine. Congress sought to reestablish oversight and regulation of the financial system among the remedies enacted was a law that consolidated powers from across seven agencies into one call the consumer financial protection bureau. It was placed in the offices that the Federal Reserve and funded by the Fed. The new agency was charged with preventing a repeat of two thousand eight financial crisis. Richard Cordray was its first director for the baby. Had two roles one was to try to prevent an economic collapse of that kind ever happening again. And that was done largely to putting in place rules that safeguarded the mortgage market and ferreted out. A lot of the irresponsible and ultimately failed lending that had occurred once in place. The bureau moved aggressively to protect consumers from bad actors in banking and other financial services also in the CFP BE SITES. Were Bill Collectors. Telemarketers and others accused of misleading practices among these was the Salem Law Firm in Los Angeles investigated for charging consumers illegal. Upfront fees for debt relief services the CFP as part of its investigation demanded certain documents from the law firm. The firm refused contending that the structure of the agency is unconstitutional. Because it's director cannot be fired by the president at will instead the bureau's director like the heads of other independent federal agencies can only be fired for cause meaning malfeasance inefficiency or neglect of duty lawyer? Andy Pinkus who represents the Chamber of Commerce explains the theory of our government is that the popularly elected president will appoint officials and remove them. They're not doing what he wants. So if you take away the president's power to remove someone Then you're drastically limiting the political accountability of that individual that view however lost in the lower courts and the sale affirm appealed to the Supreme Court backed by the trump administration central today. Argument is a case dating back to nineteen thirty five. When President Franklin Delano Roosevelt tried to fire one of five commissioners on the Federal Trade Commission over his policy views. The Supreme Court ruled unanimously. That Congress created the FTC to perform quays judicial quasar legislative functions and that the president could not therefore dismiss its members the way he could members of his own administration the sale firm and the trump administration will argue that. The CFPB is different because the bureau's power was placed in the hands of a single director instead of a multi member commission again lawyer. Andy Pinkus multi member agencies the way they're structured our system have to have people from different parties. The president picks the chairman who has a lot of control about how it operates. The terms are staggered. So most presidents will have an opportunity to appoint a number of those people because the trump administration is not defending the CFP structure. The Supreme Court appointed lawyer Paul Clement to argue on behalf of the Bureau Clement notes that there are other single-member directors the government who cannot be fired by the president will among them the control of the currency and the director of the Social Security Administration. The constitution says nothing about the president's power to remove officers confirmed by the Senate pointing to that fact Clement notes. There are literally dozens of independent agencies. That control everything from monetary policy to the stock market to public health and Safety Clement says that the consequences of invalidating the CFP structure could be dire. The issue in this case is like the thread on the sweater. That if you start tugging on it and you tug on it hard enough. Potentially the whole sweater comes undone and the sweater here really is is the entirety of the whole alphabet soup of agencies that all have these four 'cause protections these agencies. He notes are often central to our economy. The Federal Reserve is a great sort of example of why Congress imposes these kinds of restrictions. Because there are certain issues in the world that we deal with the national level where it's nice to have a degree of installation for a discharging a particular duty where it's not GonNa Change with whoever's the president the trump administration however is willing to roll the dice in this case. It argues that if a single director agency cannot be distinguished from a multi member agency the court should reverse. The case decided eighty five years ago. That would throw into doubt not just the CFP B but independent agencies that comprise roughly a third of the government and not just those agencies but also potentially the rules that those agencies have laid down over the years
Michael Smith on the Paul Finebaum Show
"You're listening to the Paul Finebaum Show podcast and we're delighted to welcome all of you back. Oh one of the Tru truly great reporters On the on the college sports business seen in Michael Smith joining us now. In one of the most recent issues of the Sports Business Journal talking about The first six years of the College Football Ballpoint Michael Great to have you on we. We're always looking for ways to talk. I'd rather do it other than on the only on the air. But we're delighted to have you here and I wanna I just first of all Just have you do reflect on some of the reporting that you did in this piece as well as your own observations of the first uh for six years of the College Football playoff. Hey Paul thanks for having me So good catch up with you and You know the point of the story was to look at the College Football Playoff Championship game. We're six years into it now. The the deal it is being goes twelve years so we felt like at at this midpoint on the TV contract. It was a good time to kind of take stock of what has worked what has not worked and so we went out and hold a lot of marketing then media experts and got their opinions on on that question and so as you can imagine. Most of the feedback was positive It's better than the system we had before But it still leaves a lot of questions in terms of how do you grow the TV audience. Had He made it. It could schedule more consistent so we don't have two weeks between the semi final and final. How do we keep games off of New Year's Eve questions like that that they continue to come up and no real solution for right now you also took look with ESPN executives About the time of the game. And that's a that's that's a complaint you get all the time this year. The game ended. I think twelve fourteen no the game a couple of years ago when even later an and Michael you and I live on the East eastern time zone we forget there are people in California who are three hours behind us but That's not going to change. There's a no it's not gonNA change you know. Five of the six championship games have gone past midnight. And like you said some going well past midnight and that's where it really comes down to. How competitive the game is and with LSU pulling away at that point the viewer show probably after midnight was not as great raise. It would have been saved for the Alabama Georgia overtime game. No it's a really good point Let me ask you since you are You know all these people pool and I know you just go through spending some time and can't wait to hear more about it with Jim Delany in Nashville. Who Retired how? How does college football allow the Big Ten and the PAC twelve and more importantly the Rosebowl? Aw dictate everything else that goes around it. The that's kind of age old question June and You know there. There's such an allegiance. There's such loyalty to to the ball. Games like especially the Rosebowl like you pointed out often and that really is one of the major factors. You know the rosebowl being locked in at that time. New Year's Day on factors I y you cannot consistently put the semifinals on New Year's Day. And then come back with the championship game a week later And there there's just It's almost hard to explain. But there there's such a sense of The the Rose Bowl has been so. Oh good to college football that you do have loyalists like Jim Laney and others the you know who the SEC. In the sugar bowl for example that They they don't want to relinquish that. And so the only way to make sure the Rose Bowl and sugar bowl maintain that status as they own new year's Day. I wonder again. I have great admiration for Delaney and the fact that I would give him the credit here. I think you can correct a For being able to do this and then what did the SEC do. As you've reported Mike's life came in and said okay. If they're going to do that we wanna own the sugarbowl Slob of the problem with the sugar. The ball slot. Mike is at the game. Doesn't start till nine o'clock right. You know that's you know that's an aspect active Of all the experts that we talked to media marketing is worth. We talked to the one criticism or the one Miss when you talk about a hitter misses that kept coming up was the inconsistency the scheduling and maybe not being able to capitalize as much on in the semifinal games as they would like you know we saw the TV audience really spiked with that first championship game between Satan Oregon Oregon and since then it's Kinda settled in lower number right around twenty five million viewers. That's a fantastic crowd in this definitely It definitely gives. ESPN the ability to own that that evening. But when you think about the Super Bowl being eighty five to ninety million million viewers compared to twenty five million for the College Football Championship. You wonder how. How is the CFPB championship game? Going to grow its viewership and And the inconsistency of this is one of the factors that a lot of people pointed to that that could limited going forward and and I wonder listen. I don't I don't want to minimize twenty five million people That's a big number and when you look at the most watched events of the year after the super bowl off the collar after the Super Bowl and the in the NFL playoffs College football biggest night is huge. But I'm just watching it this week and I realized the Kobe tragedy has has cast a pall but From here on as you know Michael you're in the sports business world the Super Bowl. Aw is as big of an event as there is in the world and college. Football just seem like it's sandwiched in between the NFL. Playoff off games on Saturday and Sunday right. So this schedule if you think about it There were three. NFL Sundays in between the semi finals. The final amazing and so that goes back to the consistency question the scheduling and being able to maximize the opportunity to college. Football has to to own certain days as and when you think about cargo owning January first and neither the finals nor the semifinals are on January. First it seems a little counterintuitive and January. I was a huge day. I mean the the audience for the Michigan Alabama Citrus Bowl was was Gargantuan and so it's not like ESPN is going broke on this. I mean they're still doing pretty well. And maybe maybe the maybe. Maybe they're better off owning the semi final day and New Year's Day. I don't know I'm just a lowly employees at ESPN. But my question to you is what happens next We're sick. We're we're six years in then every year. There's this rampant speculation that something's about to change and it never seems to. You know all these people you spend a lot of time with the college football powerbrokers our brokers Between now and when are they going to alter if assuming they are the college. Football playoff are more people are more schools getting again we. That's a great question and an access is is definitely one of the one of the questions that I post a lot of the people that work in that space and There's there seems to be a consensus that that the commissioners at least are willing to talk about. That's a good thing. That's a step forward but I don't know of anyone who thinks it's going to happen before this. This twelve year contract runs. It runs its course and so it could happen in the next contract. I I definitely think it's something that will be discussing the talk about you know not keep coming back to this loyalty to bowl games. One of the one of the arguments that I hear against the eighteen playoff is about those four teams that lose in the in the quarterfinals awesome. They don't get the bowl experience. Well if you're one of those four teams they lost in the quarterfinals. Would you rather have a shot at being in the playoff. Who would you rather be able to spend a couple of days at a theme park having your bowl experience and so those it almost sounds kind of silly but those are the kind of conversations that are taking place when they're contemplating expansion and let me ask you Michael I mean this year we had the the the the peculiarity of the lending tree bowl in mobile with all due. Respect to lending three which happens to be headquartered around the corner from where we were sitting having a bowl game on Monday night and I realized I was a Corcoran the schedule but that late in the process I mean is that experience really that meaningful. I I've been to the College Football Bowl Association. I've heard what those guys say and they work very hard but still It just seems discombobulated up to me and many others. Yeah you know I. I guess that's just to me the the the the mid to third week in December bowl and and also the ones that you're talking about leading up to the championship game and early January. I just you know. Obviously they're important. TV CONTENT FOR ESPN but also they provide an opportunity to go on. PREGAME halftime the post game to talk about the next game. And so it's all part of the build up in an intersection that way. You know one other thing. I was thinking about fall. We're talking about kind of the future of the CFP in this current contract in years. Eleven and twelve. They're still to championship game sites to be determined. And that's something that will happen in the next couple of years but That's one of the things I'm GONNA be. Watching is what two cities are able to land. There's there's last two championship games in this twelve year cycle. What I'm curious before you go? What what are the next couple of years? Look like for the CIP in terms of In terms of site well Indianapolis is in there somewhere. It it is Is going to go obviously Miami and La to the new stadium in Houston. Okay then those last two years are to be determined. But you could definitely envision like Las Vegas a while you could invade eh envision somebody like Orlando that has bid for championship games in the past. you could go to north to a minneapolis or two met met life in New Jersey New York Those are those are some of the sites that I think this year Vegas is going to get a pretty good workout with what's to the NFL draft and everything else. It's hard to imagine not being in the Niger. That's a lot of a lot of places are going Michael Michael Fascinating If it's a really incredible read and of course anytime Vince Thompson is quoted. My eiser all over it Thank you for coming coming on. Just just one of the most knowledgeable people in the industry and you must follow Michael to keep up with things in the sports business platform. Warm Michael Comeback. Soon thank you very much greg. My friend all. It's great to have you Michael Smith just an outstanding reporter and I can't wait there He spent last Last week with Jim Delany Just after his retirement and that is going to be fascinating to to read
CFPB Chief Says Education Department Is Blocking Student Loan Oversight
"Support for NPR and the following message come from gusto, providing payroll, benefits and HR services for small businesses, gusto serves more than sixty thousand businesses nationwide. With full service payroll HR, tools and health insurance at gusto dot com slash NPR. The director of the consumer financial protection bureau. The CF PB says the Trump administration's education department is getting in the way of efforts to police the student loan industry. This comes amid lawsuits that allege widespread wrongdoing, by student loan companies. Here's NPR's Chris Arnold, the head of the CF PB Kathy Cran anger is responding to Senator Elizabeth Warren and other Democrats who wanted to know whether the consumer protection bureau is doing its job protecting student borrowers and her answer is pretty striking. The letter obtained by NPR is carefully worded. But in essence Kranjcar is saying that the CF is trying to do its job. But she says that companies that manage student loan. Are not handing over information that the bureau needs to do supervision because they say the education department told them, not to in other words, the education department is getting in the way it's actually quite remarkable. Seth frontman heads up the nonprofit student borrower protection center, he used to be the cfpb's student loan ombudsman, but quit last summer over frustrations with the Trump administration. The head of the consumer financial protection bureau is telling the world that the secretary of education has put in place, a series of policies, that are obstructing federal law enforcement officials from standing up for the millions of Americans with student debt Americans, like, Jessica Saint Paul. She was grappling with about eighty thousand dollars in student loans. Then when she heard about a program called public service loan forgiveness. She was ecstatic, the programs designed to encourage public service. So police officers government workers teach. People who work for not prophets if they make payments for ten years, they can get the remainder of their student loan debt forgiven. Saint Paul work for a nonprofit that provides services to foster children. I oh, this is perfect, I called interested in of a service. I don't forgive me. That was nine years ago. She says over the years she called the company servicing, her loans to check in just wanna make sure you know, I'm on track. Okay. No problem conversation with quick. I mean they were so kind. But Saint Paul says she was getting bad information. She says she found out just last year at a conference. There was an information session on loan forgiveness since she was told that she was in the wrong, kind of loan and wrong payment plan, so that she couldn't qualify. And she says a lot of other people were finding out the same thing, right there at the conference support group almost turned into because you were like, no that can't be true. And people were I went on my home. We're gonna phones and that type checking your loan, what type alone they were, and we were all sitting there like just frantic like. Well, on in my in what wait, wait. Wait. Let me pull this up. Let me see bud say, Paul says it was true. If nine years ago, her loan servicer, just told her to take a few simple steps to convert to the right loan payment plan. Everything would have been okay. Instead, she says she feels like somebody's stole tens of thousands of dollars from her is it Australia? Not just cannot believe it happened to me, it's happening to a lot of people so far about ninety nine percent of people applying for this loan forgiveness program or getting rejected, and more than one million people are actively pursuing it and hoping to qualify Saint Paul's a plaintiff in one of the many lawsuits by advocacy groups, and regulators related to this program and other problems. This is why democratic lawmakers say they want to be sure that perhaps the most powerful federal watchdog for consumers is on top of all this in March. Senator Bob Menendez pressed the issue at hearing with CF director chronicler, have you examined why ninety nine percent. Of applicants have been reject. Senator. Get I I understand why you're asking question. It's important one by don't have a specific answer to your question on this topic. Now that lawmakers have chronic or answer was with Warren and four other senators call the revelations disturbing around a letters. They just fired off to student loan, servicing companies, the cfpb in a statement says it's confident that it can resolve the issues and achieve its mission of protecting borrowers. But for its part, the education department appears to be defending its stance, but loan servicers should not hand over information to the CFP be the department says in a statement that it takes privacy. Seriously, and says requests for information about student loan borrowers should be made to the education department said, Froman says the cfpb should flex its muscles, more and take loan servicers to court. If necessary to get them to comply with its oversight efforts, Chris Arnold NPR news.
Financial watchdog plans to scrap payday lending rules
"Government watchdog says it plans to roll back most of its consumer protections governing the payday lending industry. Here's NPR's Danielle low payday lenders offer small cash loans to borrowers who commit to paying it back where their next paycheck. The consumer financial protection bureau drafted a rule in two thousand sixteen to require lenders to verify that borrowers are able to afford these loans. The rule was delayed and never took effect. Now. The cfpb says it wants to roll it back to make credit more accessible their proposal is open to public comment for ninety
Trump taps Kathy Kraninger to take over consumer protection bureau
"Thera bathrooms and medical facilities according to u s representative will heard there are four hundred beds out the temporary shelter but heard says federal officials are evaluating whether to increase that number two four thousand the department of homeland security says at least two thousand children have been separated from their parents at the border since the administration zerotolerance order went into effect in april for npr news i'm carlos what alice wanna president trump's loudest critics is taking the trump administration to task over the separation of migrant children from the parents at the us mexico border president trump as democrats for the situation instead of his hero tolerance policy but democratic senator richard blumenthal of connecticut says democrats aren't the bad guys here especially on thursday we should be terrifying families in supporting not ripping children away and then nearly demagoguing blaming it on democrats or anyone else when there is no law nearly six hundred african migra rinse at the center of the debate over immigration in europe have begun arriving at the spanish port of valencia then and talion coastguard ship the first to arrive and now the charity rescue ship aquarius has docked another talion ship carrying the rest of the migrants expected to dock soon that took the convoy nearly a week to travel from the waters off sicily after the aquarius was turned away by italy and malta president trump plans to nominate kathy cranach to lead the consumer financial protection bureau impure shannon van zandt reports cranberries deputy to mick mulvaney the director of the office of management and budget he's also currently acting as the director of the cfpb pb which he regularly criticised while in congress the white house calls crandon astonished supporter of free enterprise consumer advocates expect her to continue mulvaney deregulatory agenda the white house says the bureau has been plagued by excessive spending and politicized agendas the obama administration established the cfp be to protect consumer from predatory lenders and other financial risk shannon vincent npr news washington reza macedonia have signed a deal aimed at resolving a long running dispute over macedonia's name today signing ceremony was held after greek prime minister alexis tsipras survived a no confidence vote in parliament yesterday and from washington you're listening to npr news a candlelight vigil is being planned for tonight in kansas city for the two sheriff's deputies killed while transporting inmates from a court hearing the investigation suggests that one of the.
CFPB chief Mick Mulvaney disbands consumer protection board
"To thirty four and the getting worse you hall problem we should they they write in the south center area this had northbound i five as you approach southcenter murray talk about the weather now and we have temperatures will be in probably hit the mid seventies no question we're already at seventy one here in seattle tomorrow a tad cooler but still dry in a chance of showers popping in late friday again seventy one in downtown seattle at komo news and important move by the head of an agency the white house reportedly wanting to abolish abc's daria albinger has the story a group of outside experts required by law to meet with the consumer financial protection bureau say the group has been dissolved by the cfp be head mick mulvaney to now former members say mulvaney told the consumer advisory board they'll be replaced and the board will be reconstituted this is required to meet twice a year but meetings have been repeatedly canceled since mulvaney came to the cfp daria albinger abc news komo news time to twentysix more if i'm sherry preston sometimes if you get mad enough you can make a difference through democracy take the case of california judge aaron persky he's.
Elizabeth Warren, Mick Mulvaney spar in Senate testimony over CFPB
"Live from npr news in washington i'm windsor johnston massachusetts senator elizabeth warren and other lawmakers got their first chance to question the trump administration's head of the consumer financial protection bureau on thursday a bureau which warren helped create as npr's chris arnold reports interim director mick mulvaney faced sharp criticism from democrats under mulvaney he's watched the consumer protection bureau was dropped a lawsuit and a separate investigation into high address socal payday lenders and whereas the bureau used to bring several enforcement actions every single month to go after companies that were cheating consumers mulvaney acknowledged he hasn't brought a single new enforcement action since he took over the agency about five months ago democrat elizabeth warren told him you are hurting real people to score cheap political points for his part will they and he said he is enforcing the law and not dismantling the bureau i have not burnt the place down but he is calling for congress to restrict its power and independence chris arnold npr news the ceo of a classifieds website that allows users to post escort ads has pleaded guilty to money laundering charges capital public radio's eddie bundle moody reports authorities are calling back page dot com and online brothel.
Elizabeth Warren, Mick Mulvaney spar in Senate testimony over CFPB
"The us orduna sheet an attack against north korea and went on to say despite public comments about his hawkish nece he believes measured response to story is i'm hawk i'm hardliner you know i i read that and there's no one as you just heard in what i described there's no one like someone who served in uniform the understand the value of diplomacy and the terror and tragedy that is war like someone who served in uniform it's the last resort it must always be so pompeo whoever also said he could foresee a situation where the us might have to move past diplomacy for example of north korean leader kim jong own were to directly threaten the us elizabeth warren and other senators got their first chance to question the trump administration's head of the consumer financial protection bureau has npr's chris arnold reports the interim director mick mulvaney faced sharp criticism from democrats under mulvaney watch the consumer protection bureau has dropped a lawsuit and a separate investigation into high interest payday lenders and whereas the bureau used to bring several enforcement actions every single month to go after companies that were cheating consumers mulvaney any acknowledged he hasn't brought a single new enforcement action since he took over the agency about five months ago democrat elizabeth warren told him you are hurting real people to score cheap political points for his part will he said he is enforcing the law and not dismantling the bureau i have not burnt the place down but he is calling for congress to restrict its power and independence chris arnold npr news renewed strength in the tech sector as well as gains for banks and industrial companies helped to send stocks higher today the dow is up two hundred ninety three points the nasdaq closed up seventy one points this is npr and you're listening to.