Review of the Senate version of the Financial Regulations Reform Bill
Preferred Financial Services, Inc reviews and analyzes the final version of the Financial Regulations Reform Bill recently passed by the Senate….
Andover, Massachusetts May 25th 2010—Preferred Financial Services has analyzed and reviewed the final version of the Financial Regulations Reform Bill that passed the senate last week. The final version of the bill has many positive aspects for consumers but also failed to go far enough in certain areas. President Obama has said this bill is vital for consumers and the country in general so that a future financial meltdown like we witnessed between 2008 and 2009 will never happen again. The bill introduces many new regulations for the Financial Services industry and is designed to protect consumers from risky and deceptive financial products. President Obama would like to see the house and senate bill reconciled in the next few weeks so that he can sign it into law.
This bill deals with everything from mortgage standards to consumer protection agencies and stock market regulations. The most beneficial part for consumers is the creation of Consumer Financial Protection Bureau. This bureau will be tasked with protecting consumers from unfair and potentially predatory consumer loan and credit card company practices. Just like the house bill, the senate bill also deals with how to regulate and supervise “too big to fail” companies. These are the types of firms that almost ruined our economy when they failed. The proposed fund to deal with these firms from the House bill has been removed from the senate version and congress will now have to work together to find a way to regulate and wind down firms that could threaten the American economy as whole.
When it comes to dealing with mortgages and mortgage backed financial products, the senate bill is designed to protect consumers from risky financial bets that paid of handsomely in the past but also led us towards the financial meltdown of 2008. In the past, many consumers were given loans with no verification of their income or ability to pay back the loan. This practice would be outlawed in the senate bill. Firms that trade in mortgage backed securities and financial products will also be required to keep at least 5% of the value of the product in house. This should lower the risks being taken by banks and minimize the chances of another financial meltdown. As soon as the bills are reconciled and the final version is signed into law by the President, we at Preferred Financial Services will analyze it and inform consumers on the changes they can expect and how it will impact their financial futures.
Preferred Financial Services is a debt reduction firm certified by the CFC (Center for Financial Certifications) and accredited by U.S.O.B.A. (United States Organizations for Bankruptcy Alternatives). Headquartered in Andover, Massachusetts, Preferred Financial Services has been a leader in the debt reduction industry since 2003. Preferred Financial Services has acquired some of the best experience in the industry over the past 7 years. In 2009 alone Preferred Financial Services reduced over $16.5 million worth of consumer debt for just $6.4 million, for a savings of about 60%- and over 2,900 accounts were settled on behalf of their clients.
For more information, please visit: www.pfsdebtrelief.com
Contact:
Stephan Tavernini
