Saturday, November 28, 2020

Tag: Court House Doors Will Reopen for Millions of U-S- Consumers

Court House Doors Will Reopen for Millions of U.S. Consumers

by Pam Martens and Russ Martens, Wall Street On Parade:
Yesterday, Richard Cordray, the Director of the Consumer Financial Protection Bureau (CFPB) that was created in 2010 under the Dodd-Frank financial reform legislation, did what few Americans thought he would dare to do: he stood up to threats of being fired; threats of backlash from Wall Street titans; threats of having his agency’s budget gutted; and Congressional threats of being put on a leash by a commission appointed by the President. Despite all of these threats and more, Cordray issued the final rule that allows consumers who have been defrauded in financial transactions involving credit cards and bank accounts to have access to file a group action (known legally as a “class action”) using the nation’s courts.

The rule mandates the following wording in bank account and credit card contracts: “You may file a class action in court or you may be a member of a class action filed by someone else.”