Account holders could see more download costs after financial institutions won a Senate victory on Thursday, annuling a consumer financial protection rule designed to regulate Download expenses. The decision could load North -American families who are already facing financial difficulties.
The New York Times He reported that the resolution approved with the Republicans with a thin margin of 52-48 votes. Senator Josh Hawley, R-MO, was the only legislator to break with his party and opposed the measure.
What would you limit the measure?
The CFPB rule would have limited the amount that bank and credit cooperatives could charge customers, preventing them from paying a $ 35 download rate. As a result, it could have saved North -American homes over $ 5 million a year, according to the New York Times.
Download protection usually allows account holders to make purchases exceeding the amount of their verification accounts. When it appears as a negative balance, the banks and credit cooperatives may choose to cover the balance and collect a $ 35 download rate. CNBC He reported that members may choose whether or not to be enrolled in the service that many financial institutions usually offer.
Mr Tim Scott, Rs.C.He sponsored the resolution by virtue of the Congress Law, allowing the Congress to vote on important rules by the federal agencies before they enter into force, according to the United States Government Responsibility Office. If you do, it will allow them to approve or disapprove of the proposal less than 60 days with a simple majority vote.
The Biden administration introduced the CFPB download rule in December to stop “junk rates” of banks and financial institutions. On Wednesday night, Scott opposed the plan, which aimed to help consumers save money.
Scott said the CFPB rule is “good for consumers”
“The” Brossa rate “conversation motivated by President Biden was not a matter of helping consumers,” said Scott, head of the Bank Presidency Committee, in a statement obtained by Politico.
“It was a matter of trying to change the devastation conversation that inflation carried to the kitchen table after the kitchen table after the kitchen table throughout America,” added Scott. “The fact that you annul the Biden CFPB download rates structure is good for consumers.”
The banks later sued, arguing that the rule would prevent them from offering desktops. The Senate’s ruling does not law; It still requires the approval of the Chamber’s Financial Services Committee.
