The Financial CHOICE Act is a legislation designed to overhaul the Dodd-Frank Act of 2010. The US House of Representatives voted to pass this act by 233-186.
The Financial CHOICE (Creating Hope and Opportunity for Investors, Consumers, and Entrepreneurs) Act is considered a “better, smarter way”, according to House Financial Services Committee Chairman Jeb Hensarling.
“It stands for economic growth for all, bt bank bailouts for none. We will end bank bailouts once and for all. We will replace bailouts with bankruptcy. We will replace economic stagnation with a growing, healthy economy,” Representative Hensarling added, who is also the author of the bill.
House Speaker approves of the Financial CHOICE Act
The bill aims to deter the Dodd-Frank Act, provide Main Street relief, end taxpayer bailouts, rein in unchecked Washington bureaucrats, and cut the deficit by $24 billion. This is according to Representative Paul Ryan.
This legislation received praises from Speaker of the House Representative Paul Ryan. “Small businesses are struggling. They have been unable to hire, invest or get the loans they need to get off the ground. Families looking to keep their money safe are hit with fees they can’t afford. He added, “And why? Our community banks are in trouble. They are being crushed by the costly rules imposed on them by the Dodd-Frank Act. This law may have had good intentions, but its consequences have been dire for Main Street. Let me put it this way: It is more than a thousand pages long and has more rules and regulations than any other Obama-era law. The burdens created are real.”
The American Bankers Association also had a positive statement about the approval of the bill in the Congress. ““Today’s House vote is an important step toward making much-needed regulatory reforms that will allow banks to better serve their customers and communities,” MBA President and CEO Rob Nichols said.
No Democrat supported it, and only one Republican opposed the bill.
Representative Maxine Waters strongly disagreed calling it the ‘Wrong Choice Act’ in a Tweet. “We have come so far since the financial crisis–but the Republicans’ #WrongChoiceAct threatens to put Americans at risk once again.”
Democrat Senators Elizabeth Warren (D-MA) and Sherrod (D-OH) were also very outspoken in their dismay on the Congress’ approval of the bill.
Both senators took it out to Twitter to air out their opinions. “I’m going to fight my heart out to protect Wall Street reform & the @CFPB. I urge the Senate: Enough with the Wall Street handouts,” Senator Warren tweeted. Senator Sherrod said, “is a massive giveaway to megabanks and payday lenders. It would undo the progress we’ve made.”
The Senate Next
At this point, it will go to the Senate it reaches President Donald Trump’s desk.
The Association of Mortgage Professionals President Fred Kreger wishes to work with the Senate to further reinforce the bill. “NAMB applauds the passage of HR 10, The Financial CHOICE Act, and looks forward to working with the Senate on further refinements that help the mortgage industry place consumers into homes.”
It still is uncertain how the CHOICE Act will fare in the Senate. All that is left to do is to wait.