Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again! | TigerDroppings.com

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NC_Tigah
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Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


quote:

Three years after the Dodd-Frank Wall Street Reform and Consumer Protection Act became law, experts are still debating its impact.

President Barack Obama celebrated its enactment during his weekly address.“Three years ago this weekend, we put into place tough new rules of the road for the financial sector so that irresponsible behavior on the part of a few could never again cause a crisis that harms millions of middle-class families,” he said.....

Some experts, however, believe the president is overselling the law passed in response to the 2008 financial crisis.
quote:

big businesses hijacked Dodd-Frank for their own gain.

“Walmart, Walgreens and Home Depot got price controls on what they pay to banks for debit cards, which is really one of the most costly provisions for ordinary consumers,” he said. “That’s when banks got rid of free checking unless you have a big balance, because if they couldn’t get retailers fees they had to charge more to consumers.”

“At the time, the businesses that were more popular than the banks could use [Dodd-Frank] to their advantage,” he continued. “It was a free-for-all; different lobbyists with different agendas, if they could label it financial reform, got their agenda thrown in there, whether or not it was in the public interest.”
quote:

“There are limits on competition,” he said. “Some community banks have stopped making mortgages,” which forced consumers into larger banks that operate under Dodd-Frank’s auspices but which often offer less-competitive pricing.
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Because derivatives are such a complicated and long-term investment, Peirce argues that investors should always pay close attention to who they’re dealing with. “What Dodd-Frank does is say, ‘Don’t worry about [your counterparty], because you’re going to be in this relationship now with a clearing house for a year, and the clearing house is safe, so don’t worry about it,” she said.

“What we’ve done then is we’ve removed a whole layer of market scrutiny on counterparties,” Peirce concluded.

Other experts fear that certain Dodd-Frank institutions perpetuate a “too-big-to-fail” mentality, making future bailouts of financial institutions and other big businesses all-but-inevitable.
quote:

TheDCNF previously reported details about the program, including that millions of Americans’ financial information falls under its purview and that private contractors are building a database containing 80 percent of all credit card transactions in the United States.

“[The database] smacks of the National Security Agency scandal, but lacks the justification of fighting terrorism,”
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TheHiddenFlask
Clemson Fan
The Welsh red light district
Member since Jul 2008
16755 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


Bankers have been out maneuvering the federal government for 50 years.

Legislators have responded by making larger and larger bills. Bankers laugh at the monstrous bills, thinking about how many more loopholes a 250 page bill will have. 1 page bills would be the destruction of a lot of profit in the mega banks.






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son of arlo
Alabama Fan
State of Innocence
Member since Sep 2013
2917 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


Wait... Isn't that the Dodd feller who got those sweetheart loan deals? Friends of Angelo or something like that?





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Meauxjeaux
Memphis Fan
I have 89,230 posts with my alters
Member since Jun 2005
16260 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


quote:

so that irresponsible behavior on the part of a few could never again cause a crisis that harms millions of middle-class families,”


So Dodd-Frank makes Obamacare illegal?






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Eighteen
LSU Fan
Member since Dec 2006
16458 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!








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90proofprofessional
LSU Fan
Member since Mar 2004
8494 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


quote:

we put into place tough new rules of the road for the financial sector so that irresponsible behavior on the part of a few could never again cause a crisis








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I B Freeman
Member since Oct 2009
5112 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


Big government is inherently corrupt. Dodd Frank certainly illustrates this point.





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TrueTiger
LSU Fan
Chicken's most valuable
Member since Sep 2004
9865 posts
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re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


Yet another fine example of regulatory capture.


quote:

Definition of 'Regulatory Capture '

It is the process by which regulatory agencies eventually come to be dominated by the very industries they were charged with regulating. Regulatory capture happens when a regulatory agency, formed to act in the public's interest, eventually acts in ways that benefit the industry it is supposed to be regulating, rather than the public.






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LSUwag
LSU Fan
St Augustine Beach
Member since Jan 2007
6329 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


This past June, I bought a non conforming condo (one of four units where the condo association no longer exists) in St Augustine. I had a hell of a time getting a mortgage on it because of Dodd-Frank rules. No traditional mortgage company would tough it. I had to find a local mortgage company to do it. The interest was a little higher and in return, they will never be able to sell the mortgage.

I got a great deal on the property because several other deals had fallen through because the buyers were unable to get financing. I plan to pay it off in less than five years and own it forever because I will probably never be able to resell it. It is a great place and I love it.

Before Dodd-Frank, getting it financed would have been no problem. This according to the bankers.






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TerryDawg03
Georgia Fan
Member since Dec 2012
1673 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


Speaking from experience, this bill is harming community banks and will make real estate loans more expensive in terms of fees on the front end. If you notice your bank starting to require appraisals on renewals (if they weren't already), you can thank the update to Reg B (aka ECOA) that goes into effect on January 18. If you find your bankers asking for every piece of info under the sun before you can get approved, you can thank the ATR and QM rules hitting on January 10.

This bill is a clusterfrick.






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LSUwag
LSU Fan
St Augustine Beach
Member since Jan 2007
6329 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


quote:

you find your bankers asking for every piece of info under the sun before you can get approved


That was our experience. We had to jump through hoop after hoop. We have exceptional credit and we were putting down more than 20%.






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LSUStjames
LSU Fan
Dutchtown
Member since Dec 2005
2929 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


I'm going through it now. I'm waiting for them to ask for a blood sample. I put 20% down have 775+ credit and it's f'ing ridiculous. The bankers are telling me it would be much worse if my purchase agreement would have went into affect after the first of the year.





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TerryDawg03
Georgia Fan
Member since Dec 2012
1673 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


quote:

I'm going through it now. I'm waiting for them to ask for a blood sample. I put 20% down have 775+ credit and it's f'ing ridiculous. The bankers are telling me it would be much worse if my purchase agreement would have went into affect after the first of the year.


It will. Trust me.






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TupeloTiger
LSU Fan
Tupelo,Ms.[via Bastrop,La.]
Member since Jul 2004
2725 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


This bad for growth and new jobs. The Dem's and Obama love it, but people out there getting store buildings financed or parking lots financed ,etc. are being hurt. This kills developers like us. We will just stop. Bring on fewer jobs. Obama doesn't have a clue, he doesn't know.





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LSURussian
LSU Fan
Baton Rouge
Member since Feb 2005
79930 posts
 Online 

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


When D/F was being debated several posters on the Money Board were gloating about how the big banks were finally going to see their profits destroyed.

I caught all kinds of grief from them when I said that wasn't going to happen. I told them banks would just start charging new fees for services and charge higher loan rates and pay lower deposit rates. Heh, heh.....






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kingbob
LSU Fan
St. Amant, LA
Member since Nov 2010
16399 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


I said the same thing. I new this bill was bad. What they needed was to reinstate Glass-Steagall





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TerryDawg03
Georgia Fan
Member since Dec 2012
1673 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


quote:

This bad for growth and new jobs. The Dem's and Obama love it, but people out there getting store buildings financed or parking lots financed ,etc. are being hurt. This kills developers like us. We will just stop. Bring on fewer jobs. Obama doesn't have a clue, he doesn't know.


The changes in January apply mostly to SFR 1-4 loans. ATR & QM to consumer purpose loans, ECOA to any loan secured by a first lien on SFR 1-4. A lot of banks will likely be applying new policies and procedures across the board rather than carving out these specific loans, simply because they don't have the manpower or want to create a compliance nightmare (i.e. "This loan is exempt, but this one isn't," etc).






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dante
LSU Fan
Kingwood, TX
Member since Mar 2006
7408 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


The lobbyist probably write more than half the bills passed and I can assure you the lobbyist are not acting in our best interest. Anytime congress passes a bill a majority of us are getting screwed over. The obamacare deal was probably sitting on someone's desk for years just waiting for the right opportunity to pass it. Obviously none of the elected people responsible for passing the bill had any idea what was in it.





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EST
LSU Fan
Investigating
Member since Oct 2003
14329 posts

re: Dodd-Frank 3 years later - Who gets hurt? Everyday folks . . . again!


quote:

President Barack Obama celebrated its enactment during his weekly address.“Three years ago this weekend, we put into place tough new rules of the road for the financial sector so that irresponsible behavior on the part of a few could never again cause a crisis that harms millions of middle-class families,” he said.....


Geez Obama, look in the freaking mirror.







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