​Consumers League of New Jersey deplores the 2025 effort to eliminate the Consumer Financial Protection Bureau of the Federal Reserve Board.  The CFPB is established by laws enacted by Congress. The President has a Constitutional duty to "take Care that the Laws be faithfully executed."  U.S. Constitution​, Article II, Section 3.  Failure to regulate mortgages caused the 2008 financial crash. Back in the 1980s, failure to regulate the savings and loan industry caused a similar crash, see Inside Job: The Looting of America's Savings and Loans by Stephen Pizzo, Mary Fricker and  Paul Muolo. Need we mention 1929? An "anything goes" philosophy will allow unsound and fraudulent practices to ruin the finances of the United States and its people.

 

Consumers League of New Jersey opposes federal bills which  eliminate consumer protections. The Consumers League successfully lobbied Congress to prohibit unilateral changes in mortgages, which we called "rate rise surprise." CLNJ opposed federal bills to sabotage the strong protections which New Jersey has limiting the interest rates to 30% for  rent to own furniture sales.

 

The Consumers League opposed the Bankruptcy “reform” act of 2005, enacted by Congress after years of lobbying and contributions by the banking industry. After several years of experience with this 2005 law,  CLNJ believes that the main results have been to increase the paperwork burden on consumer debtors and bankruptcy attorneys. The law was sold on the mistaken premise that most debtors could afford to pay a chapter 13 payment plan. Many chapter 13 payment plans fail because the debtor simply does not have enough money to repay all his or her debts. Most debtors are persons below the state median income, and so are eligible to file chapter 7 bankruptcy for debt forgiveness.