Protecting Consumers

Congresswoman Maloney has been an effective and tenacious champion for consumers. Her Credit Card Accountability Responsibility and Disclosure Act has saved consumers $12 billion a year since it was signed into law in 2009.  As Americans recover from our worst financial crisis since the Great Depression—brought on in part by financial firms’ unfair and predatory practices—it is imperative to protect the American consumer.

Overdraft Protections: Along with many of her Democratic colleagues, Congresswoman Maloney has introduced the Overdraft Protection Act. Financial institutions have increasingly used overdraft “protection” plans in a way that is deceptive and unfair to consumers, despite a Federal Reserve Rule that requires financial institutions to obtain consumers’ consent to opt into overdraft coverage. This problem is significant. The FDIC reports that the vast majority of large banks enroll consumers automatically in overdraft plans, charge an average of $35 per overdraft, and manipulate the order transactions to post in a way that maximizes overdraft fees. Read More

Identity Theft Protection: Each week we hear of a new loss of personal data that threatens thousands of Americans with identity theft. In this age of electronic banking and internet transactions, it is easier than ever to have your personal data stolen. Almost every state, including New York, has responded to this threat by enacting laws that allow individuals to protect themselves from identity theft by controlling access to their credit report and the personal data it contains. Congresswoman Maloney is working in Congress to expand this “file freeze” protection at the national level and enhance notification requirements when personal data is lost. By now, many victims have found out the hard way that once a criminal sets up false accounts in your name, it can be very difficult to clear your credit. In this case it may be years before you can buy a car, buy a house, or get a credit card. Read More

CFPB: Congresswoman Maloney proudly supported the creation of the Consumer Financial Protection Bureau (CFPB), a key component of the Dodd-Frank Wall Street Reform & Consumer Protection Act. The CFPB consolidates consumer protection and regulation of financial practice, and allows consumers the opportunity to provide feedback on and make inquiries about financial consumer products. When families are dealing with financial institutions to open a bank account, take out a loan to send a child to college, or apply for a mortgage, they will be able to trust that the process is fair and transparent. Read More

Credit Card Accountability Responsibility and Disclosure Act of 2009: In the 111th Congress, Congresswoman Maloney authored and passed the Credit Card Accountability Responsibility and Disclosure Act of 2009, which became law on May 22, 2009 [Public Law 111-24].   This bill eliminated credit card practices that the Federal Reserve had deemed unfair and deceptive to customers, and which had an anticompetitive effect, such as retroactive interest rate increases on existing balances, double cycle billing, and agreements that allowed issuers to raise rates “any time for any reason,” without even providing effective notice.  The law ended these practices that, according to some estimates, cost consumers $12 billion in one year alone. Read More

More on Protecting Consumers

Sep 20, 2019 Newsletter

Dear Friend,

It was another busy week in Washington, DC and I wanted to share some highlights with you.

This week, as Vice Chair of the Joint Economic Committee, I released a report detailing the economic costs of gun violence and held a hearing with expert witnesses who spoke on what we need to do to end this epidemic.

Sep 13, 2019 Newsletter
Dear Friend, Congress is back in session! This week, I returned to Washington, DC for votes and Congressional hearings. To kick off the week, on Monday, I introduced my bill to stop banks from charging outrageous overdraft fees and taking advantage of their customers who can least afford it. Later in the week, I proudly voted with House Democrats to ban harmful offshore drillingand protect our environment. And, before returning to DC, I gathered with community and nonprofit leaders to call on Congress to pass my bill to support the creation of new community gardens and parks.
Sep 9, 2019 Press Release
WASHINGTON, DC – Congresswoman Carolyn B. Maloney (D-NY), senior member of the House Financial Services Committee and author of the Credit CARD Act, today joined with consumer protection advocates to announce the introduction of the Overdraft Protection Act of 2019, which will crack down on unfair overdraft fees, and would establish fair and transparent practices for overdraft coverage programs.
May 24, 2019 Newsletter
Dear Friend, First, I would like to wish you and your families a Happy Memorial Day as we honor all those who made the ultimate sacrifice to defend this country. Second, I would like to announce that that I've been working with Rep. Alexandria Ocasio-Cortez (D-NY) and the House Committee on Oversight and Reform to host a hearing on the 2020 Census here in NYC. It will take place this Tuesday, May 28 at 2pm at LaGuardia Community College's The Little Theater. If you can't join us, live stream here. I also want to give you a run down on what I was up to in Washington, DC this week.
May 23, 2019 Press Release

WASHINGTON, DC – Congresswoman Carolyn B. Maloney (D-NY), senior member of the House Financial Services Committee and former member of the Dodd-Frank Conference Committee, yesterday spoke on the House floor in favor of and then voted with her colleagues to pass H.R. 1500, the Consumers First Act.

May 22, 2019 In The News
The House voted Wednesday to undo the Trump administration’s reining in of the Consumer Financial Protection Bureau (CFPB) and prevent future directors from replicating those efforts.
May 21, 2019 Press Release
WASHINGTON, DC – Ahead of tomorrow’s 10 year anniversary of the signing of the 2009 Credit Card Accountability, Responsibility, and Disclosure Act (CARD Act), Congresswoman Carolyn B. Maloney (D-NY), author of the bill and Chair of the House Financial Services Subcommittee Investor Protection, Entrepreneurship, and Capital Markets, marked the occasion with various consumer groups including Americans for Financial Reform (AFR), USPIRG, Center for Responsible Lending, and Consumer Federation of America.
Apr 10, 2019 Newsletter
Dear Friend, This weekly update is coming early this week as the House has finished up voting with Democrats heading to our Issues Conference in Virginia this afternoon. While we were only in DC for a short time this week, we still got a lot done. Below are some highlights.
Apr 10, 2019 In The News

One by one, the leaders of seven of the country’s largest banks told skeptical House Democrats Wednesday that a decade after the global financial crisis, the industry is financially healthier and less risky.

“Citi had become a smaller, safer, stronger and far less complex company,” Citigroup CEO Michael Corbat told the House Financial Services Committee. The 200-year-old bank, the largest credit-card issuer in the world, has shed several lines of business to focus on core areas such as retail banking, he said.

Mar 12, 2019 In The News

WASHINGTON — Timothy J. Sloan went to Capitol Hill on Tuesday to convince members of Congress that Wells Fargo had become a better bank.

By the time he left, it was clear that few believed him.