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Full-Text Articles in Law
Systemic Risk Oversight And The Shifting Balance Of State And Federal Authority Over Insurance
Systemic Risk Oversight And The Shifting Balance Of State And Federal Authority Over Insurance
Patricia A. McCoy
The Cra Implications Of Predatory Lending, Kathleen Engel, Patricia Mccoy
The Cra Implications Of Predatory Lending, Kathleen Engel, Patricia Mccoy
Patricia A. McCoy
Traditionally, policymakers, communities, and industry have regarded the Community Reinvestment Act ("CRA") as a positive mandate for banks and thrifts to do good by increasing investment in low- and moderate-income ("LMI") neighborhoods. When Congress enacted CRA, it was inconceivable that LMI neighborhoods might eventually receive too much credit in the form of abusive mortgages. However, by the late 1990s, predatory mortgages- exploitative high-cost loans to gullible borrowers-were ravaging the inner cities. We address the question: given the surge in predatory lending, how should CRA respond? CRA and federal subsidies to regulated lenders can create perverse incentives for lenders to engage …
The Consumer Financial Protection Bureau: Financial Regulation For The 21st Century
The Consumer Financial Protection Bureau: Financial Regulation For The 21st Century
Patricia A. McCoy
After existing regulatory systems failed to prevent the recent financial crisis, Congress passed the Dodd-Frank Wall Street Reform and Consumer Protection Act, a sweeping reform designed to alleviate the crisis and prevent its recurrence. Out of this Act, the Consumer Financial Protection Bureau was born. This new agency is charged with making markets for consumer financial products and services work for Americans, a task that was previously spread out among seven different federal agencies with varying priorities. This Article describes, with a series of concrete case studies, four key principles that have guided the Bureau as it strives to fulfill …
Federal Preemption And Consumer Financial Protection: Past And Future
Federal Preemption And Consumer Financial Protection: Past And Future
Patricia A. McCoy
Starting in 1995 and throughout the subprime boom during the next decade, Congress failed to take action to curb predatory mortgage lending. Many states and cities filled the void by passing anti-predatory lending laws of their own. Lenders, worried about potential liability, quickly organized a full-scale attack on the state and local initiatives. Their most potent strategy lay in challenging the laws and ordinances under federal preemption rules for national banks and federal savings associations that precluded states from enforcing their anti-predatory lending laws.
The Dodd-Frank Act curtailed the preemption rules by establishing that state consumer financial laws can only …
Public Engagement In Rulemaking: The Consumer Financial Protection Bureau’S New Approach
Public Engagement In Rulemaking: The Consumer Financial Protection Bureau’S New Approach
Patricia A. McCoy
No abstract provided.