Brilliant: Donald Trump Plans To Undo Crippling Dodd-Frank Law - Onerous Fiduciary Rule
By: Dr. Jake Baker - TqpWires News Service
President Donald Trump on Friday plans to sign an executive action to scale back the 2010 Dodd-Frank financial-overhaul law, in a sweeping plan to dismantle much of the regulatory system put in place after the 2008 financial crisis.
In the wake of the U.S. banking crisis in 2008 Obama and the Congressional left came up with a 2300-page fix for the problem that their original “anti-discrimination” lending legislation created. The lending legislation the Federal Community Reinvestment Act was designed to force banks to make loans to minorities, regardless of credit worthiness. In doing so Congress forced lenders to make millions of bad loans which they derivatized, bundled and sold as packages in an effort to ameliorate their forced and dangerous financial risk. This hair-brained legislation and the subsequent derivatized sales which began collapsing in 2008 precipitated the near collapse of the U.S. banking system.
In the wake of that regulatory insanity which nearly destroyed both the U.S. and the larger global banking system, trillions of dollars were poured into both the U.S. and European banking and financial systems by the federal reserve. That debt was handed to the taxpayers of the U.S.. It was the largest transfer of wealth in the history of the world and it ended up taking money from average Joe and giving it to the bankers and the global elite of the world.
Obama and liberals in the Congress then deceived a panicked populace and used the financial crisis they caused to create the Wall Street Reform and Consumer Protection Act, known as Dodd-Frank. The onerous regulation created a myriad of “oversight” agencies, countless regulations, and has a crippling effect on bank lending to small business, home owners and has forced trillions of dollars to be parked at the Federal Reserve causing a dearth of capital in the system for business expansion, due in large part to a fear of lending that might run afoul of the civil and criminal penalties associated with Dodd-Frank.
When President Trump signs the executive action on Friday it will dramatically scale back the 2010 Dodd-Frank financial-overhaul law, and is a part of the Trump strategy to implement a sweeping plan to dismantle much of the job-killing, economy strangling super-regulatory system put in place by a democrat controlled congress in league with the Obama administration.
Trump also plans to take action against another controversial regulatory provision that will hit in April which would decimate the retirement-account advisory business with a regulatory regime that would render it nearly impossible for the industry to operate.
"Americans are going to have better choices and Americans are going to have better products because we're not going to burden the banks with literally hundreds of billions of dollars of regulatory costs every year," White House National Economic Council Director Gary Cohn said in an interview with The Wall Street Journal. "The banks are going to be able to price product more efficiently and more effectively to consumers."
The current plan is for President Trump to use a memorandum to ask the labor secretary to consider rescinding a rule set to go into effect in April that orders retirement advisers, overseeing about $3 trillion in assets, theoretically to “act in the best interest of their clients,” Cohn said in the White House interview. In reality the rule limits financial flexibility and hamstrings consumer choice.
Trump also will sign an executive order that directs the Treasury secretary and financial regulators to create a plan that essentially amounts to a repeal and replacement of the strangling Dodd-Frank financial oversight law.Donald Trump, Economy, Your Money, Donald Trump , Dodd frank, Financial System, Dodd Frank , Regulatory Nightmare