WASHINGTON—Legislation has been introduced in Congress that calls for changing the leadership structure of the Consumer Financial Protection Bureau from a single director to a five-person board.
Introduced by Rep. Randy Neugebauer (R-TX), the Financial Product Safety Commission Act (H.R. 1266) addresses an issue that has been among the hot buttons for financial trade groups, including those of credit unions. Under Neugebauer’s bill, the president would appoint all five members, who would need to be approved by the Senate. Members would be split 3-2 along political parties, with each member serving a five-year term.
In a letter sent by the financial trade groups to Congress earlier this year, the groups stated, “We believe that a five-member commission, as Congress originally intended, will better balance consumer access to financial products with the need to ensure a fair marketplace. A commission would serve as a source of balance and stability for consumers and the financial services industry by encouraging internal debate and deliberation, ultimately leading to increased transparency."