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NEW DSCC AD: From Wall Street to Washington, Pat Toomey Has Put Himself Ahead of Pennsylvania

The DSCC released a new ad today highlighting how Senator Pat Toomey puts Wall Street and banks like the one he co-founded ahead of hardworking Pennsylvania families. Senator Toomey started his career on Wall Street, where he made millions of dollars and then went on to co-found his own bank that used predatory lending practices. When Senator Toomey went to Washington, he’s continued to take millions of dollars from Wall Street and repeatedly votes to gut protections that guard consumers from predatory lending practices.

 

The ad, “History” can be viewed HERE.

 

“Senator Pat Toomey may have left Wall Street for Washington, but that hasn’t stopped him from working for the big banks at the expense of hardworking Pennsylvanians,” said Lauren Passalacqua, DSCC National Press Secretary. “Pennsylvanians deserve a Senator who’s looking out for them, not one who’s trying to change the rules so his Wall Street allies can prey on them. Hopefully Toomey’s big bank friends have a job lined up for him in November.”

 

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V/O: Pat Toomey started here, raking in millions.

 

GFX: Pat Toomey

Started in Wall Street

 

 

TOOMEY EARNED MILLIONS AS A WALL STREET TRADER

 

2014: Toomey Disclosed A Net Worth Between $1.3 And $4.5 Million. According to his 2014 personal financial disclosure, Toomey and his wife had a net worth between $1,383,058 and $4,561,000. [Toomey Personal Financial Disclosure, CY2014, Amended 8/17/15]

 

  • Pittsburgh Post-Gazette: Toomey “Earned The Bulk Of His Wealth As A Trader On Wall Street.” “Mr. Toomey earned the bulk of his wealth as a trader on Wall Street and, briefly, in Hong Kong. After six years in Congress, he served as president of the Club for Growth, an anti-tax group backed by the financial industry.” [Pittsburgh Post-Gazette, 10/15/10]

 

 

V/O: Then he founded a bank that used a predatory lending practice.

 

GFX: Pat Toomey’s Bank “engaged in predatory lending practices”

Politico, 10/7/16

 

 

TOOMEY FOUNDED TEAM CAPITAL BANK & SERVED AS CO-CHAIRMAN OF THE BOARD OF DIRECTORS

 

2005: Toomey Founded Team Capital And Served Co-Chairman Of The Board Of Directors. “Team Capital Bank was founded in the Lehigh Valley in 2005 with co-chairmen Martin D. Cohen, a Lehigh Valley attorney, and Pat Toomey, the former congressman and current U.S. senator. Cohen remains on the board of directors. The bank opened its first Lehigh Valley branch in 2006 at 2151 Emrick Blvd. in Bethlehem Township.” [Eastern Express Times, 12/21/13]

 

Citizens For Responsibility And Ethics In Washington: “Toomey Owns Stock In A Bank He Helped Co-Found, Team Capital Bank.” “Citizens for Responsibility and Ethics in Washington (CREW) today released a new report revealing that Sen. Pat Toomey (R-PA) used his position to financially benefit himself and members of his family. Sen. Toomey paid two of his businesses, his wife, and his former employer with funds from his campaign committee and leadership PAC, leading CREW to include him in Family Affair, a look at how senators and their family members profit from their official positions. “Sen’ Toomey seems to believe in fiscal austerity only for other people. You’d think someone who so zealously advocates for frugality would be more cautious about spending donors’ money,’ CREW Executive Director Melanie Sloan said. Sen. Toomey owns stock in a bank he helped co-found, Team Capital Bank, and in an airplane leasing company he owns called N-35727, INC.” [Citizens for Responsibility and Ethics in Washington, 2014]

 

  • Candidate Filing: Toomey Owned Between $500,001 And $1,000,000 In Team Capital Bank Stock. [Toomey Candidate Financial Disclosure, Candidate Filing, Filed 4/16/10]

 

  • 2010: Toomey Owned Between $500,000 And $1,000,000 In Team Capital Bank Stock. [Toomey Personal Financial Disclosure, CY2010, Amended 6/22/11]

 

  • 2011: Toomey Owned Between $500,001 And $1,000,000 In Team Capital Bank Stock. [Toomey Personal Financial Disclosure, CY2011, Amended 5/1/14]

 

  • 2012: Toomey Owned Between $500,001 And $1,000,000 In Team Capital Bank Stock. [Toomey Personal Financial Disclosure, CY2012, Filed 5/15/13]

 

  • 2013: Toomey Owned Between $500,001 And $1,000,000 In Team Capital Bank Stock. [Toomey Personal Financial Disclosure, CY2013, Amended 8/18/15]

 

Scranton Times-Tribune: Toomey’s “Single Most Valuable Assets” Was His Stock In Team Capital Bank, Worth Between $500,001 And $1 Million And Earned A $6,300 Board Fee From The Bank. “The Toomeys’ portfolio includes several diversified individual retirement accounts, but the senator’s single most valuable assets are his stock in Bethlehem-based Team Capital Bank and a real estate partnership, Old Mill Partners. Old Mill owns undeveloped land on Block Island, a vacation hot spot in Rhode Island. Mr. Toomey is a native Rhode Islander. The partnership and the bank stock each are worth between $500,001 and $1 million, according to his disclosure form. Mr. Toomey also earned a $6,300 board fee from the bank and a $2,500 retainer from MJR Financial Group, an investment advice firm in Bethlehem that helped start the bank in 2005. The senator has an extensive background in finance.” [Scranton Times-Tribune, 7/1/11]

 

Toomey’s Most Valuable Private Holding Was Stock In Team Capital Bank. “Toomey disclosed a net worth of between $1,750,070 and $4,750,999 in 2010. Some of his bigger public holdings include iShares Silver Trust Index and JPMorgan Alerian MLP Index, which invests in energy limited partnerships.  Toomey’s private holdings included an airplane-leasing company (worth $101,002 to $265,000) and a real estate deal called Old Mill Partners (worth $500,001 to $1,000,000). His most valuable assets include stock in Bethlehem-based Team Capital Bank.” [Philadelphia Inquirer, 11/22/11]

 

TOOMEY’S BANK UTILIZED CONFESSIONS OF JUDGMENT, A PRACTICE BANNED IN 35 STATES

 

Politico: Team Capital Bank “Used A Controversial Foreclosure Method Called A ‘Confession Of Judgment’ To Begin The Foreclosure Process On At Least 21 Residential And Commercial Properties In The State.” “While sitting on the Senate Banking Committee, Toomey owned between $500,001 and $1 million in stock in Team Capital Bank, from 2010 to 2014. His ownership of the bank, while little discussed so far, looks set to become a focal point of Democratic attacks in the final weeks of his reelection run. The bank also used a controversial foreclosure method called a ‘confession of judgment’ to begin the foreclosure process on at least 21 residential and commercial properties in the state that were used as collateral by small business owners, even as Toomey fought against consumer protections for mortgages in the Senate, repeatedly opposing the Consumer Financial Protection Bureau.” [Politico, 10/7/16]

 

·         Politico: “In More Than 20 Cases, Team Capital Bank Used The Process To Start The Foreclosure Process On Business Owners Who Put Properties Up As Collateral.” “Toomey’s campaign argued the CFPB’s impact on Team Capital would be limited because the agency deals exclusively with retail mortgages, which made up just one-third of the bank’s total loan portfolio. But in more than 20 cases, Team Capital used the process to start the foreclosure process on business owners who put properties up as collateral, according to court documents.” [Politico, 10/7/16]

 

Politico: Confession Of Judgment Was “Banned In 35 Other States Because Of Due Process Concerns.” “So while a standard process gives a homeowner or business owner more time to negotiate with a bank or pay up on the mortgage, a confession of judgement is an ‘end around’ that ‘moves very, very quickly,’ said Debbie Goldstein, the executive vice president at the Center for Responsible Lending. The practice is only allowed for commercial mortgages in Pennsylvania and is banned in 35 other states because of due process concerns. State law also requires the language to be conspicuous, meaning it must be in large font and clearly labeled on legal documents. Commercial mortgages also traditionally have more involved and detailed negotiations processes, so it’s likely the mortgage holders knew they were agreeing to an expedited foreclosure process. ‘The CFPB was created because individual consumers needed help defending themselves against practices like that,’ Goldstein said. ‘Confessions of judgement are intended to undermine the foreclosure process.’” [Politico, 10/7/16]

 

Consumer Finance Advocate: “We Should Be Concerned About Elected Officials Whose Outside Interests Were Engaged In Predatory Practices.” “The CFPB deals exclusively with retail mortgages, while Toomey’s bank only used confessions of judgment in commercial mortgage cases. But advocates warned the spread of such practices was exactly the type of thing the CFPB was designed to prevent. ‘In the wake of the financial crisis, we should be concerned about elected officials whose outside interests were engaged in predatory practices,’ said Joe Valenti, the director of consumer finance at the liberal Center for American Progress Action Fund, adding: ‘Proposing to weaken the Consumer Financial Protection Bureau and to export anti-consumer state laws to the entire country only moves us farther away from improving families’ financial stability.’” [Politico, 10/7/16]

 

 

V/O: Now, Toomey’s taking millions from Wall Street.

 

GFX: Toomey’s Campaigns

Took Millions from Wall Street

Center for Responsive Politics, Accessed 10/26/16

 

TOOMEY ACCEPTED OVER $3.3 MILLION FROM THE SECURITIES AND INVESTMENT INDUSTRY

 

Toomey Accepted More Than $3.3 Million From The Securities And Investment Industry, His Biggest Contributing Industry. Over his political career, Toomey accepted a total of $3,030,462 from the securities and investment industry, his biggest contributing industry. [Center for Responsive Politics, Accessed 10/26/16]

 

V/O: And using his position in the Senate, voting to gut protections that crack down on predatory lending.

 

GFX: Gut Protections Against Predatory Lending

Vote 46, 3/21/13; Vote 98, 5/16/12

 

TOOMEY HAS REPEATEDLY VOTED TO ROLL BACK WALL STREET REFORM THAT WAS PUT IN PLACE TO PROTECT CONSUMERS FROM “PREDATORY LENDING PRACTICES” BY BANKS

 

ThinkProgress: Dodd-Frank’s Core Purpose “Was To Rein In Wall Street’s Risk-Taking, Safeguard The Economy If Things Go Wrong Again And Protect Consumers From Predatory Lending Practices.” “Dodd-Frank’s package of measures was passed in the wake of the financial crisis and a cascade of bad bets on Wall Street that dragged down the global economy. It does a number of things, but its core purpose was to rein in Wall Street’s risk-taking, better safeguard the economy if things go wrong again, and protect consumers from predatory practices.” [ThinkProgress, 5/18/16]

 

CNBC: Wall Street Reform Was “Geared Toward Protecting Consumers” With Regulations To Keep Borrowers From “Abusive” Practices By Banks. “The full name of the bill is the Dodd-Frank Wall Street Reform and Consumer Protection Act, but it is better known and most often referred to as Dodd-Frank. In simple terms, Dodd-Frank is a law that places major regulations on the financial industry. It grew out of the Great Recession with the intention of preventing another collapse of a major financial institution like Lehman Brothers. Dodd-Frank is also geared toward protecting consumers with rules like keeping borrowers from abusive lending and mortgage practices by banks.” [CNBC, 5/11/12]

 

NPR: The Consumer Financial Protection Bureau Proposed “Regulations To Protect Consumers From Predatory Lending Practices.” “The Consumer Financial Protection Bureau on Thursday is proposing new regulations to protect consumers from predatory lending practices that the CFPB’s top regulator calls ‘debt traps.’  Americans are being ‘set up to fail’ by payday and auto-title lenders, Richard Cordray, the director of the Consumer Financial Protection Bureau, tells NPR.  ‘The way these products are structured, it’s very difficult to repay the loan, and therefore people end up borrowing again and again and paying far more in fees and interest than they borrowed in the first place,’ Cordray says.” [NPR, 6/2/16]

 

2012: Toomey Voted For FY 2013 Ryan Budget. In May 2012, Toomey voted for a: “Conrad, D-N.D., motion to proceed to the concurrent resolution that would allow $2.794 trillion in new budget authority for fiscal 2013, not including off-budget accounts.” The motion failed 41-58. [CQ, 5/16/12, H.Con.Res. 112, Vote 98, 5/16/12]

 

  • Los Angeles Times Editorial: Ryan Budget Would Repeal “New Federal Restrictions On Wall Street.” “For the second time in as many years, the House Republican leadership has put forward a deficit-cutting budget plan that’s more of a political statement than a governing blueprint. The proposed budget for fiscal 2013 promotes a long list of conservative policies that are only tangentially related to the federal fisc — for example, repealing new federal restrictions on Wall Street and ending the moratorium on offshore oil drilling. Even the proposals that are purely fiscal in nature rely on changes in law that Senate Democrats won’t support, such as repealing the 2010 healthcare reform law.” [Los Angeles Times, Editorial, 3/21/12]

 

2013: Toomey Voted For FY 2014 Ryan Budget. In March 2013, Toomey voted for: “Murray, D-Wash., amendment no. 433 that would replace the text of the resolution with language to provide $2.769 trillion in new budget authority in fiscal 2014, not including off-budget accounts. It would assume that the spending levels required by the sequester remain in place and that non-war discretionary spending for all future years will be at post-sequester levels. It would assume that all discretionary savings from the sequester beginning in fiscal 2014 will come from non-defense programs. It would assume $4.6 trillion in reductions over the next 10 years in both discretionary and mandatory spending. It would assume repeal of the 2010 health care overhaul and a restructuring of Medicare into a ‘premium support’ system beginning in 2024.” The amendment was rejected 40-59. [CQ, 3/21/13; S.Amdt. 433 to S.Con.Res. 8, Vote 46, 3/21/13]

 

  • Seattle Post-Intelligencer: FY 2014 Ryan Budget Would “Roll Back 2010 Wall Street Reform Legislation.” “Ryan, chairman of the House Budget Committee, rolled out his new budget on Tuesday, a document reminiscent of his old budget that Democrats ran against in the 2012 election. It would partially privatize Medicare, slash Medicaid and food stamps by turning them into block grants, abolish the Affordable Care Act (‘Obamacare’), roll back the 2010 Wall Street reform legislation, and throw open federal lands in all places to all kinds of drilling and gouging proposed by Big Oil and Big Coal.” [Seattle Post-Intelligencer, 3/12/13]

 

2015: Toomey Voted Against Allowing Legislation To Ensure The CFBP Has The Authority And Autonomy To Protect Consumers From Predatory Lending. In March 2015, Toomey voted against the: “Merkley, D-N.M., amendment no. 842 that would create a deficit-neutral reserve fund to allow for legislation that would ensure the Consumer Financial Protection Bureau has the authority and autonomy to protect consumers from predatory lending, misleading or abusive behavior, or other unscrupulous practices in the financial marketplace.” The amendment failed 46-54. [CQ, 3/25/15; S. Amdt. 842 to S. Con. Res. 11, Vote 117, 3/25/15]

 

2015: Toomey Voted For The FY2016 Senate Republican Budget. In March 2015, Toomey voted for the: “Adoption of the concurrent resolution that would set broad spending and revenue targets over the next 10 years. It would allow $523 billion for defense discretionary spending and $493.5 billion for non-defense spending in fiscal 2016, the statutory level set by the 2011 budget law. It also contains a deficit-neutral reserve fund that would allow the budget limits to be raised later in the year if a budget deal is reached. It would provide $96 billion for war-related Overseas Contingency Operations, which is not subject to budget caps. It would direct the Senate Finance Committee and the Health, Education, Labor and Pensions Committee to come up with at least $1 billion each in deficit reduction over a 10-year period.” The measure passed 52-46. [CQ, 3/27/15; S. Con. Res. 11, Vote 135, 3/27/15]

 

  • The Budget Included An Amendment That Would Subject CFPB’s Budget To The Congressional Appropriations Process. “The Senate Budget Committee added an amendment to the GOP budget that would subject the agency’s budget to the congressional appropriations process. Currently, the CFPB receives its funding directly from the Federal Reserve, and bureau advocates argue that giving appropriators control would allow Republicans to starve the agency of funds. But Republicans have long contended that the CFPB should see its budget set by lawmakers, and the failure to do so has made it unaccountable.” [The Hill, 3/25/16]

 

  • Senator Elizabeth Warren: The GOP Budget Put Consumer Protections “In The Center Of The Bull’s Eye.” “Sen. Elizabeth Warren (D-Mass.) said the GOP had put financial protections ‘in the center of the bull’s-eye’ with their new budget proposal. ‘A budget resolution is a statement of values, and the Republicans have put their values on display,’ she said Wednesday. ‘Republicans … want to end the protections for American families and make it easier for Wall Street to rip them off.’ Warren, joined by Sens. Jeff Merkley (D-Ore.) and Al Franken (D-Minn.), criticized the GOP budget Wednesday, targeting particular ire at a provision that calls for lawmakers to set the funding levels for the Consumer Financial Protection Bureau (CFPB).” [The Hill, 3/25/16]

 

 

V/O: He even tried to re-write the rules and help banks like his at our expense.

 

GFX: Re-write Rules

Help His Bank

Vote 46, 3/21/13

Vote 98, 5/16/12

 

 

 

TOOMEY HELD STOCKS IN BANKS, INCLUDING ONE HE FOUNDED, WHILE HE VOTED TO BENEFIT THEM

 

FROM THE TIME HE JOINED THE SENATE THROUGH TODAY, TOOMEY HELD FINANCIAL INTERESTS IN MULTIPLE BANKS, INCLUDING ONE HE FOUNDED & SERVED AS A CHAIRMAN FOR

 

Politico: “While Sitting On The Senate Banking Committee, Toomey Owned Between $500,001 And $1 Million In Stock In Team Capital Bank From 2010 To 2014.” “Wall Street ties have become a potentially poisonous issue for many politicians on the campaign trail in 2016. It has played an especially big role in Pennsylvania’s key Senate race, where Democrats have portrayed GOP Sen. Pat Toomey as too close an ally of banks and Wall Street — and where Toomey’s ties to the industry also include a major financial stake in a small bank he cofounded. While sitting on the Senate Banking Committee, Toomey owned between $500,001 and $1 million in stock in Team Capital Bank, from 2010 to 2014.” [Politico, 10/7/16]

 

  • In 2005, Toomey Founded Team Capital And Served Co-Chairman Of The Board Of Directors. “Team Capital Bank was founded in the Lehigh Valley in 2005 with co-chairmen Martin D. Cohen, a Lehigh Valley attorney, and Pat Toomey, the former congressman and current U.S. senator. Cohen remains on the board of directors. The bank opened its first Lehigh Valley branch in 2006 at 2151 Emrick Blvd. in Bethlehem Township.” [Eastern Express Times, 12/21/13]

 

Toomey Held Stock In Provident Bank, Which He Acquired When The Bank Purchased Team Capital Bank In December 2013. “The senator’s personal financial disclosures from 2010 to 2014 showed he owned stock in the bank worth between $500,001 and $1 million. In December 2013, Provident Bank — a larger bank operating in New Jersey and Pennsylvania — announced it was purchasing Team Capital for $122 million. Toomey still owns shares in Provident Bank, which is publicly traded.” [Politico, 10/7/16]

 

TOOMEY VOTED TO REPEAL WALL STREET REFORM THAT WAS PUT IN PLACE TO PROTECT CONSUMERS FROM “PREDATORY LENDING PRACTICES” BY BANKS…

 

ThinkProgress: Dodd-Frank’s Core Purpose “Was To Rein In Wall Street’s Risk-Taking, Safeguard The Economy If Things Go Wrong Again And Protect Consumers From Predatory Lending Practices.” “Dodd-Frank’s package of measures was passed in the wake of the financial crisis and a cascade of bad bets on Wall Street that dragged down the global economy. It does a number of things, but its core purpose was to rein in Wall Street’s risk-taking, better safeguard the economy if things go wrong again, and protect consumers from predatory practices.” [ThinkProgress, 5/18/16]

 

CNBC: Wall Street Reform Was “Geared Toward Protecting Consumers” With Regulations To Keep Borrowers From “Abusive” Practices By Banks. “The full name of the bill is the Dodd-Frank Wall Street Reform and Consumer Protection Act, but it is better known and most often referred to as Dodd-Frank. In simple terms, Dodd-Frank is a law that places major regulations on the financial industry. It grew out of the Great Recession with the intention of preventing another collapse of a major financial institution like Lehman Brothers. Dodd-Frank is also geared toward protecting consumers with rules like keeping borrowers from abusive lending and mortgage practices by banks.” [CNBC, 5/11/12]

 

NPR: The Consumer Financial Protection Bureau Proposed “Regulations To Protect Consumers From Predatory Lending Practices.” “The Consumer Financial Protection Bureau on Thursday is proposing new regulations to protect consumers from predatory lending practices that the CFPB’s top regulator calls ‘debt traps.’  Americans are being ‘set up to fail’ by payday and auto-title lenders, Richard Cordray, the director of the Consumer Financial Protection Bureau, tells NPR.  ‘The way these products are structured, it’s very difficult to repay the loan, and therefore people end up borrowing again and again and paying far more in fees and interest than they borrowed in the first place,’ Cordray says.” [NPR, 6/2/16]

 

Toomey Voted For FY 2014 Ryan Budget. In March 2013, Toomey voted for: “Murray, D-Wash., amendment no. 433 that would replace the text of the resolution with language to provide $2.769 trillion in new budget authority in fiscal 2014, not including off-budget accounts. It would assume that the spending levels required by the sequester remain in place and that non-war discretionary spending for all future years will be at post-sequester levels. It would assume that all discretionary savings from the sequester beginning in fiscal 2014 will come from non-defense programs. It would assume $4.6 trillion in reductions over the next 10 years in both discretionary and mandatory spending. It would assume repeal of the 2010 health care overhaul and a restructuring of Medicare into a ‘premium support’ system beginning in 2024.” The amendment was rejected 40-59. [CQ, 3/21/13; S.Amdt. 433 to S.Con.Res. 8, Vote 46, 3/21/13]

 

  • Seattle Post-Intelligencer: FY 2014 Ryan Budget Would “Roll Back 2010 Wall Street Reform Legislation.” “Ryan, chairman of the House Budget Committee, rolled out his new budget on Tuesday, a document reminiscent of his old budget that Democrats ran against in the 2012 election. It would partially privatize Medicare, slash Medicaid and food stamps by turning them into block grants, abolish the Affordable Care Act (‘Obamacare’), roll back the 2010 Wall Street reform legislation, and throw open federal lands in all places to all kinds of drilling and gouging proposed by Big Oil and Big Coal.” [Seattle Post-Intelligencer, 3/12/13]

 

Toomey Voted For FY 2013 Ryan Budget. In May 2012, Toomey voted for a: “Conrad, D-N.D., motion to proceed to the concurrent resolution that would allow $2.794 trillion in new budget authority for fiscal 2013, not including off-budget accounts.” The motion failed 41-58. [CQ, 5/16/12, H.Con.Res. 112, Vote 98, 5/16/12]

 

  • Los Angeles Times Editorial: Ryan Budget Would Repeal “New Federal Restrictions On Wall Street.” “For the second time in as many years, the House Republican leadership has put forward a deficit-cutting budget plan that’s more of a political statement than a governing blueprint. The proposed budget for fiscal 2013 promotes a long list of conservative policies that are only tangentially related to the federal fisc — for example, repealing new federal restrictions on Wall Street and ending the moratorium on offshore oil drilling. Even the proposals that are purely fiscal in nature rely on changes in law that Senate Democrats won’t support, such as repealing the 2010 healthcare reform law.” [Los Angeles Times, Editorial, 3/21/12]

 

Toomey Co-Sponsored A Bill To Repeal Provisions Of The Dodd-Frank Wall Street Reform And Consumer Protection Act. In April 2011, Toomey co-sponsored: “A bill to repeal provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act.” [CQ, 4/14/11; S.746, Co-Sponsored 4/6/11, Introduced 4/6/11]

 

  • Toomey Said He “Absolutely” Thought Dodd-Frank Should Be Repealed. “RCP: Do you think Dodd-Frank ought to be repealed?  Toomey: Yes, absolutely. I think Dodd-Frank actually probably increases the risk of failure of the large financial institutions. I think it’s enormously expensive and complicated. It’s going to drive big and complex financial institutions to go offshore, overseas and run their business out of Europe or Asia. And the cost of compliance is going to be so onerous for the very small banks, which provide a huge, important amount of credit for small business, that I think they’re going to be forced to consolidate.” [Real Clear Politics, 6/23/11]

 

  • Toomey Said He Would Repeal Wall Street Reform.  “He also said he would repeal the Dodd-Frank Act, which he said is causing problems for small community banks. Toomey said he had helped launch a community bank in the past and had served as co-chairman of the bank’s board of directors. ‘I don’t know how community banks will be able to continue, because of the cost of compliance’ with the Dodd-Frank Act and other government regulations, he said. The burdensome regulations force small banks to sell out to bigger ones, ‘so you lose that small-town ability to provide capital,’ he said.” [Towanda Daily Review, 8/30/13]

 

…AND “PUSHED THROUGH A WALL STREET-SUPPORTED” AMENDMENT “ATTACKING” THE CONSUMER FINANCIAL PROTECTION BUREAU, CREATED BY DODD-FRANK, TO LET REPUBLICANS “SLASH” ITS FUNDING

 

Huffington Post: Toomey Sponsored And “Pushed Through A Wall Street-Supported Amendment Attacking The Consumer Financial Protection Bureau” Which Would Let Republicans “Slash The Bureau’s Funding.” “In just their first legislative session since taking control of the Senate, Republicans on the Budget Committee pushed through a Wall Street-supported amendment attacking the Consumer Financial Protection Bureau. The amendment, offered by Sens. David Perdue (R-Ga.) and Pat Toomey (R-Pa.), is a resolution to move the CFPB’s funding away from the Federal Reserve and put it under the direct control of Congress through the appropriations process. This would not only give Republicans an opportunity to slash the bureau’s funding, but to leverage its budgeting control to pressure the agency against cracking down on lenders.  […] Three of the Republicans who voted for the bill are up for re-election in 2016 in swing states, including Toomey and Sens. Kelly Ayotte (R-N.H.) and Rob Portman (R-Ohio).” [Huffington Post, 3/20/15]

 

  • Huffington Post: Giving Congress Direct Control Of CFPB’s Budget Would “Give Republicans Opportunity To Slash” It’s Funding And Allow It “To Pressure The Agency Against Cracking Down On Lenders.” “The amendment, offered by Sens. David Perdue (R-Ga.) and Pat Toomey (R-Pa.), is a resolution to move the CFPB’s funding away from the Federal Reserve and put it under the direct control of Congress through the appropriations process. This would not only give Republicans an opportunity to slash the bureau’s funding, but to leverage its budgeting control to pressure the agency against cracking down on lenders.” [Huffington Post, 3/20/15]

 

Dodd-Frank Created The CFPB. “In July 2010, Congress passed and President Obama signed the Dodd-Frank Wall Street Reform and Consumer Protection Act. The Act created the Consumer Financial Protection Bureau (CFPB). The CFPB consolidates most Federal consumer financial protection authority in one place. The consumer bureau is focused on one goal: watching out for American consumers in the market for consumer financial products and services.” [Consumer Financial Protection Bureau, Accessed 10/6/16]

 

WALL STREET REFORM MEANT LESS PROFIT FOR BANKS. BUT GREATER PROTECTIONS FOR CONSUMERS

 

The New Yorker: Banking Reform Legislation “Simply Made Banking Less Profitable Then It Once Was.” “Tell that to the bankers. Banks performed dismally last year, and their 2016 first-quarter-earnings reports show that this one is off to an even worse start. Returns on equity have fallen. Bonuses and salaries are being slashed; in the past quarter, Goldman Sachs cut the amount it set aside for compensation by forty per cent. Payroll is down, too: banks have eliminated tens of thousands of jobs in the past couple of years and are now embarking on a new round of severe job cuts. Some of these struggles can be attributed to short-term factors, such as low interest rates and unusually volatile markets. But there’s no avoiding the deeper conclusion: regulations have simply made banking less profitable than it once was. Before the financial crisis, financial companies (not including the Federal Reserve banks) accounted for nearly thirty per cent of U.S. corporate profits. By 2015, that number had fallen to just seventeen per cent.” [The New Yorker, 5/16/16]

 

  • The New Yorker: Under Banking Reform, “Profit Making Opportunity For Banks Have Also Shrunk.” Profit-making opportunities for banks have also shrunk. Thanks in part to the new capital requirements and to new rules curbing banks’ proprietary trading, fixed-income trading has dried up, costing banks billions of dollars in revenue.” [The New Yorker, 5/16/16]

 

Decreased Earnings By Big Banks Were “The Best Signs So Far That Dodd Frank” Was “Working.” “JPMorgan Chase reported its earnings on Tuesday night, and results were not great. It’s bottom line was lower than analysts expected. Revenue was down. Activity in its bond trading division was weaker than expected. And earnings were lower than analysts had predicted. All of this constituted a disappointment, unless you are a regulator or someone who still thinks banks are too big. Indeed, the big banks’ third quarter earnings offer some of the best signs so far that Dodd-Frank, the financial reform law passed in the wake of the financial crisis, is working.” [Fortune, 10/14/15]

 

  • Headline: “The Latest Bank Earnings Show That Dodd-Frank Is Working” [Fortune, 10/14/15]

 

Georgetown Public Policy Review: Undoing Dodd Frank Would Let Banks “Resume Risky Decisions In Their Pursuits Of Increased Size And Profits.” “With polar outlooks on Dodd-Frank’s future, Clinton and Trump’s respective elections would have very different effects on financial markets. Clinton would attempt to strengthen the act and increase regulation, which would continue to require the same difficult adjustments, limited investments, and increased costs for risky trading activities. Trump, on the other hand, would work to undo Dodd-Frank, returning autonomy to banks and allowing them to resume risky decisions in their pursuits of increased size and profits.” [Georgetown Public Policy Review, 8/19/16]

 

  • Georgetown Public Policy Review: Repealing Banking Reform Would Let Banks “Engage In More Profitable Investments At The Risk Of Consumers.” “Trump’s plan to repeal regulations would allow banks to engage in more profitable investments at the risk of consumers, and would come at the price of an uncertain and potentially volatile market in the years to come.” [Georgetown Public Policy Review, 8/19/16]

 

CFPB Announced It Had Uncovered Illegal Lending Activities That Led To Nearly $25 Million In Restitution To More Than 250,000 Consumers. “The Consumer Financial Protection Bureau (CFPB) today announced that its supervisory actions in the first four months of the year uncovered illegal activities in auto finance and payments that led to approximately $24.5 million in restitution to more than 257,000 consumers. The report also highlights issues CFPB examiners found through the agency’s examination of businesses in auto loan origination, debt collection, mortgage origination, and small-dollar lending.” [Consumer Financial Protection Bureau, Press Release, 6/30/16]

 

  • Headline: “Consumer Financial Protection Bureau Supervisory Actions Return $24.5 Million To A Quarter Million Consumers Harmed By Illegal” [Consumer Financial Protection Bureau, Press Release, 6/30/16]

 

  • Dodd-Frank Created The CFPB. “In July 2010, Congress passed and President Obama signed the Dodd-Frank Wall Street Reform and Consumer Protection Act. The Act created the Consumer Financial Protection Bureau (CFPB). The CFPB consolidates most Federal consumer financial protection authority in one place. The consumer bureau is focused on one goal: watching out for American consumers in the market for consumer financial products and services.” [Consumer Financial Protection Bureau, Accessed 10/6/16]

 

 

V/O: Pat Toomey works for Wall Street and himself, not us.

 

GFX: Pat Toomey

Works for Wall St.and Himself

Not Us

 

V/O: DSCC is responsible for the content of this advertising.

 

GFX: PAID FOR BY DSCC, WWW.DSCC.ORG, AND NOT AUTHORIZED BY ANY CANDIDATE OR CANDIDATE’S COMMITTEE. DSCC IS RESPONSIBLE FOR THE CONTENT OF THIS ADVERTISING.

 

 

 

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#TBT – Richard Burr Claimed HB2 Isn’t Hurting the North Carolina Economy


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