Financial Services Committee Chairman Jeb Hensarling (R-TX) joined MSNBC’s Morning Joe and CNBC’s Squawk Box to discuss the Financial CHOICE Act – a bill to end taxpayer-funded bailouts of Wall Street banks and create more opportunities for Americans on Main Street.
On the CFPB:
"The best form of consumer protection is competitive, innovative, transparent markets that are vigorously policed for force and fraud. But the so called CFPB in many cases has actually hurt consumers since it has come into fruition...what we are trying to do is replace it with something called the Consumer Law Enforcement Agency that is there to actually enforce our roughly two-dozen major federal consumer protection laws, but it is there to enforce the law, not make up the law and this particular agency is making up the law."
On the failures of Dodd-Frank:
"Dodd Frank has broken all of its promises. It said it would lift the economy and yet we continue to be stuck in a one and a half to two percent GDP growth economy. It said it would end bank bailouts, but cynically it codified them into law. It said it would make our financial system more stable, but the big banks are actually bigger, and small banks are fewer. We are actually losing one a day. Then last but not least, again it said it would help the consumers, but in many cases consumers are worse off. We have had seven years of Dodd Frank, it has failed and we need economic growth for all and bank bailouts for none. The answer is more capital, not more regulation."
On next steps:
"I am willing to negotiate, but I am not willing to negotiate against myself. So I will wait to see what the Senate will produce. Again part of the CHOICE Act can be done through reconciliation, other provisions will have to be negotiated. I stand ready to negotiate in good faith with Democrat colleagues in the Senate, but they are going to have to get something passed and I think increasingly, the mere fact that we would pass the Financial CHOICE Act will create greater momentum for this to get done. I know it is still a priority of the Administration, I met with the Vice President last evening who reiterated it is a priority to get it done. This along with healthcare reform and tax reform, and reform of our banking capital market systems is what is key to getting America back on track."
