House committee passes NADA-backed bill on CFPB

House committee passes NADA-backed bill on CFPB

The House Financial Services Committee passed the Financial CHOICE Act (H.R. 10) that would rein in the Consumer Financial Protection Board (CFPB) and preserve the dealer discount in auto financing.

H.R. 10, introduced by Committee Chairman Jeb Hensarling (R-TX), has language very similar to the NADA-backed bill H.R. 1737, which passed the House overwhelmingly in the last Congress. The bill would rescind the CFPBês 2013 guidance to auto lenders and require any new guidance to go through an open and public process.

NADA President and CEO Peter Welch sent a letter to Rep. Hensarling urging the Committeeês support of H.R. 10. –Unfortunately, consumers and small businesses are paying for the CFPBês flawed structure, via higher credit costs, less competition, and less access to auto credit,” Welch wrote. –For these reasons, we urge the Committee to reform the CFPB by passing H.R. 10.”