Obama Regulators Inflate Consumers' Bank Complaints

Investors Business Daily ^ | 11/27/2015 | Editorial

[expat_panama]

Regulation: A consumer complaint portal launched earlier this year by the Obama regime to solicit anonymous, unverified gripes against banks is riddled with errors and practically unreliable. We warned as much.

Consumer Financial Protection Bureau documents reveal the out-of-control agency is larding a first-of-its-kind national Consumer Complaint Database with bogus accusations against financial lenders.

Over 1 in 4 of the publicly posted complaints are incorrect, according to an in-depth report by American Banker magazine.

"More than 25% of the time, it turned out that the data we were looking at didn't really pan out, or it was just incorrect in the way it was reported," a former senior CFPB official told American Banker.

Worse, overall numbers are misleadingly inflated. The agency is double- and sometimes triple-counting the same complaint.

Most of the system's 480,801 complaints are leveled against JPMorgan, Citibank, Bank of America, Wells Fargo and other Wall Street giants that the Obama regime has demonized and shaken down for billions of dollars in subprime mortgage penalties.

Despite evidence that a significant portion of the database is incorrect...

[snip]

With this database, we are seeing the politicization and corruption of government data on a massive scale. Basically, the federal government is running a digital rumor mill.

CFPB is one of the most powerful regulators in Washington. It has enforcement authority over virtually every financial transaction in the economy.

"The CFPB holds industry to a high standard and should set a similar standard for the quality of its own data," argues Alan Kaplinsky of Ballard Spahr.

Indeed, CFPB should seek to treat the financial industry as fairly as it demands the industry treats consumers. It can start by taking down its libelous database.

[expat_panama]

Sure, everyone hates those mean old banks that never will loan you money when you need it and always seem to chisel away at our savings, but eventually we got to realize that we really do need these folks that work in the financial sector and right now they're under fire.

[Alberta's Child]

As far as I'm concerned ... Once these banks got "too big to fail" and were bailed out by Uncle Sam, they effectively became departments of the Federal government. They deserve any problems they have with idiotic complaints from their stupid customers constituents.

[expat_panama]

Goood morning!!  End of Nov. already which also means this week's just packed w/ econ reports (unemployment, claims, spending) tho we're just beginning today w/ only Chicago PMI and Pending Home Sales.  Futures traders right now see stocks up +0.2% while gold and silver (now at $1,057.13 and $14.16) are falling to new multi-year lows (related thread Gold prices plummet to 6-year low).

Other neat threads:

• Trump's Dynamic Tax Policy
• Anyone know a good conservative business/finance website?
• Fourth Turning - Social & Cultural Distress Dividing The Nation (20% of households on food stamps)
• The End of Academic Elites [as Internet changes accelerate]
• The Democrats' Death Wish: The Disappearing Destiny of the Donkey Party
• Chinese shares plunge 5.5% as authorities probe brokers over violations

[expat_panama]

...bailed out by Uncle Sam, they...   ...deserve any problems they have...

Lots of folks feel that way so we're looking at a business sector with thousands of companies blamed for what, two? --three companies that Bernanke moved in on?  This is how the left's war on private business succeeds, by destroying the health sector, the banking sector, the energy sector, until we've finally got our worker's paradise.

[Jacquerie]

Unless we reassert our sovereignty, meaning our God given right to set the limits of government, the Consumer Financial Protection Bureau will be the new model for government agencies. It is unaccountable to congress and receives its funding directly from the Federal Reserve. Its power are broad and ill-defined.

The CFPB is a single finger salute to free government. The influence and example of this politburo worthy of the Soviet Union will grow and accelerate until We The People decide to stand up to tyranny.

[citizen]

Once these banks got "too big to fail" and were bailed out by Uncle Sam, they effectively became departments of the Federal government.

Yes.

To one extent or another, the same applies to brokerages houses, insurance companies, health/drug companies, education financing & programs, etc.