A federal consumer protection agency has made it known that it could very well reduce its efforts to protect members of the military from lenders who operate using predatory practices. In response to this news, some 49 senators have signed a letter that requests the Consumer Financial Protection Bureau continue to protect the troops that protect the citizens of the United States.
The letter was sent to the director of the Office of Management and Budget Mick Mulvaney, who is also serving as the acting director of the Consumer Financial Protection Bureau. In the letter, the senators requested that the bureau use all of its available authorities to continue to protect members of the military and their families from predatory lending institutions.
The bureau has been waiting to investigate claims against lenders until they are made by military members or their family. This was instead of examining the records of lenders to ensure that they were operating under the rules of the Military Lending Act. Officials with the bureau have made claims that the agency does not have the authority to conduct these investigations even though they have been doing so for years.
When asked about the potential changes in protecting members of the military, the bureau released a statement to the Military Times that in part reads as follows:
“The bureau has started a review of the activities it uses to evaluate lenders and is working to determine whether or not the activities match the authority of the bureau. The bureau has reviewed the Military Lending Act as one of its authority measures.”
Consumer protection is an important topic for millions of residents in Illinois. Companies and lenders operating for the public are required to meet specific standards so they do not violate the rights of the consumers.