I’m outraged! Not because President Obama signed the new Dodd-Frank Wall Street Reform and Consumer Protection Act – that makes me mad too – but there’s more. The White House released a video called “What Wall Street Reform Means to You.” The video explains briefly and grossly the financial crisis we just went through, blaming banks for the mess and then justifies the new law. The video:
- Compares banks to gamblers, “playing and gambling with (consumers) money”, at casino’s.
- States “As a result millions became unemployed.”
- Says “Consumers had to fill out unintelligible mortgage documents for the bank.” Now let me ask “Who requires all of those documents?” Duh – the government!
- States “This risky behavior had to be stopped.”
After blaming bankers for the economy, it goes on to explain how the new consumer protection agency will:
- “Make those unintelligible mortgage documents a whole lot easier.” (Yeah – can’t wait to see that!)
- Says there will be “no more betting – just banking.”
- And then says at the end “(this law) protects consumers from the bank.”
Amazing! I’ve always said you can’t regulate ethics and I also believe regulations suppress the free enterprise system. Not that this is new, but this Act will punish the ethical and suppress our economy even more – mark my words. I predict many smaller institutions will simply sell or close as the dozens of new regulations will be a huge burden.
So who pays for all of these new regulations? Consumers, of course. This is the same government that believed the new RESPA rules would save home loan borrowers $800+ dollars per loan (this isn’t supposed to be funny), this new law will cost Americans severely.
Sorry to be so pessimistic, but this law is BAD! And the White House video is very unprofessional, blankets all bankers and blames bankers for the decisions of a few. Shame on them!