Rep. Maxine Waters seeks to protect consumers with “Megabank” Bill

In an effort to rein in financial institutions that have track records for harming consumers, Rep. Maxine Waters (DCalif.) recently unveiled The Megabank Accountability and Consequences Act (H.R. 3937).

The new bill would require, "prudential banking regulators, such as the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation, and the Federal Reserve Board, to fully utilize their authorities to shut down megabanks that repeatedly harm consumers."

The original co-sponsors of the Megabank Accountability and Consequences Act are: Representatives Michael Capuano (D-Mass.), Al Green (DTexas), Keith Ellison (DMinn.), Marcy Kaptur (DOhio), John Sarbanes (D-Md.), Pramila Jayapal (D-Wash.), and Jamie Raskin (D-Md).

During a press conference to announce the bill, Waters called a report that detailed Wells Fargo's egregious consumer abuses, "truly eye-opening."

The report not only described how Wells Fargo defrauded millions of consumers by opening fake credit card and deposit accounts in their names, it also revealed illegal student loan servicing practices; unlawful mortgage lending practices, such as overcharging veterans for refinance loans; and how bank representatives sold customers auto insurance policies they didn't need.

(Read full story at: www.thewestsidegazette.com)