Raj Date, Special Advisor to the Secretary of the Treasury for the Consumer Financial Protection Bureau, or CFPB, recently provided written testimony to the Subcommittee on Financial Institutions and Consumer Credit Committee on Financial Service, United States House of Representatives.
Mr. Date noted one of the CFPB’s central responsibilities is to identify and address outdated, unnecessary, or unduly burdensome regulations. The CFPB has a unique opportunity to streamline and simplify rules to ensure that they are truly making consumer financial markets work better. The CFPB has inherited from other agencies numerous regulations, many of which have been on the books for years. Changes in technology, market practices, and the legal landscape may have caused some of these rules to be obsolete, unnecessary, redundant, or counterproductive.
Mr. Date announced the CFPB will initiate a targeted review of these rules in search of ways to update and streamline the regulations. Consistent with the CFPB’s philosophy, it will ask the public to participate in this process from the beginning. The CFPB will invite public input to identify specific rules that should be priority candidates for review, to provide a fact base to help the CFPB evaluate the costs, benefits, and impacts of those rules, and to suggest alternatives that may achieve the goals of the underlying statute at a lower cost.
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