March 14, 2018

Harris Statement Opposing Bill to Deregulate Big Banks

WASHINGTON, D.C. – U.S. Senator Kamala D. Harris released the following statement today on her vote against the so-called “Economic Growth, Regulatory Relief, and Consumer Protection Act” that will roll back bank regulations in Dodd-Frank:

“The American people deserve an economy where Main Street is protected from the excesses of Wall Street. After 2008, when Wall Street recklessly triggered the worst financial crisis since the Great Depression, Congress put in place a number of common-sense safeguards to protect taxpayers and reduce the risk of another major recession. The bill that the Senate passed today needlessly weakens those protections.

“By shielding nearly two-thirds of the largest banks from tough oversight, reducing transparency, and allowing banks to make mortgages to unqualified buyers, this bill invites financial institutions to engage in the same risky behavior that led to the Great Recession and cost taxpayers more than $600 billion to bail out the banks.

“This legislation is short-sighted and irresponsible. It’s a bonus for the wealthy and powerful—not the American people. 

“As Attorney General of California, I fought tooth and nail for Californians hit hard by the state and national mortgage crisis, including winning a $20 billion settlement for California homeowners from the big banks. We established a multidivisional Mortgage Fraud Strike Force and passed the ‘Homeowners Bill of Rights,’ establishing the nation’s most comprehensive anti-foreclosure protections. Taxpayers deserve more of these protections, not less.

“Congress should not incentivize banks to engage in further reckless behavior and leave American taxpayers to pick up the tab. One financial crisis in the past decade is enough.”