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Presidential Consumer Advisor Elizabeth Warren on Obama’s nomination of Richard Cordray as the Consumer Financial Protection Bureau Director.
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Just a few hours ago President Obama nominated former Ohio attorney general Richard -- rate as the director of the consumer financial protection bureau.
Joining us now live from the White House is Elizabeth Warren potential consumer.
Visor and the driving force in creating the bureau.
But professor warned you're not going to get to run it I believe that you wanted to because he probably felt you could make a difference.
But the president is gone and a different direction as you know because Republicans very much -- against you and what they felt he stood for.
On a day like this is it disappointment is -- future hopes.
What is.
What the good news is where the agency is going and -- court -- believe me it's going to be a fabulous director.
He's a hard guy to fight -- in our he brought in two billion dollars for pensioners in Ohio by.
Rooting out fraud he was one of the first on that to go against the mortgage servicing scandal.
On he's a good and terrific guy.
We bought the Republicans on the hill has made it clear it can't be me.
So -- -- I'm glad we got somebody else is tough and strong will you still play a role behind the scenes would you be involved at all was an advisor or in any role.
So let me just be clear.
The way spent most of my life.
This teaching school doing for search and throwing rocks.
I came to Washington and had to be a little more careful.
Got to do some things -- really important and set this up.
But you better believe I'm not only -- of money teach school and do some research and -- keep throwing rocks but if you would.
And turned down a phone call from the president -- Richard portray if he -- your advice.
-- well you know I think.
I am always planned to give my opinion to anyone.
Well Mitch McConnell like -- the senator the Republican senator would ask your opinion in fact he's been very outspoken against the actual bureau in fact -- put out this release.
Today I I'm sure you've either seen ever heard about it he said the consumer financial protection bureau.
Needs to be reformed before senate considers an agency director some of the criticisms are that.
In essence the authority of this bureau would be too expansive and that there was not enough.
Oversight.
Do you agree with that.
You know I just don't know how wrong somebody can be that I think we're testing the limits of it.
We had this debate.
All four Dodd-Frank.
And we kind of vote a year ago on whether or not to have an independent agency that actually had a chance.
At getting something done.
-- taking this tangled in regulatory structure in nineteen federal statutes.
Overseen by seven different agencies gaps and overlaps inconsistencies.
In efficiencies and -- wedeman.
We're gonna put it in one place and then hold one agency accountable.
They gave it every piece of accountability and restriction that's there for other agencies other banking agencies.
Plus and in some experts including that anything this agency does could be vetoed by a group of the -- -- -- See what is this professor is this that that the lobbyists are the big banks.
Got to that or or that there's there's pressure there -- what amazes me is for example there was one quote that I saw that said.
That's.
In fact it's been what happened a lot of places whether it's the Wall Street Journal -- market -- that -- aggressive championing of consumer rights.
Upset many Republicans.
You know we not want to champion consumer rights after all that happened.
Right.
Exactly.
Exactly right.
But -- tell you about my aggressive -- in the -- -- championing.
It's -- about I think crazy things like that the price ought to be clear.
In advance before you have to sign on the dotted line.
And they should be able to re price credit later on.
I think the risks ought to be clear I think we ought to -- on the fine print see you don't need an army of lawyers to help you read it and understand that.
But I really believe ultimately in the power of consumers to make good decisions I believe in markets.
But markets depend on both sides having the right information having fairer and and and accurate.
Information before they make decisions that's all I want.
These -- wanna go back to the failed regulatory policies the ones that brought us nearly to the brink of economic disaster.
Let me play the other side now.
Too much regulation there there are redundancies in what this bureau would be doing that we're already paying other people to do -- And of course if you go back to how say for example Ronald Reagan pulled.
Our nation out of recession.
He did it by cutting down on some of the regulation of letting an wedding business breathe freely is there is there may be a little too much regulation that's what we hear from a lot of business people to this.
So let me just -- three things about this the first is this is not about more regulation this is nineteen existing statutes.
And there's a handoff.
The -- steps down as we step up the FDIC steps down as we step up the OCC steps down on these products as we step up.
So what you're getting -- just getting more efficiency fewer gaps and frankly fewer I don't know -- -- just think we have our first project out there.
What it you've ever.
Buy a home in these finalists papers in my right we're taking at least a stack of those papers and saying we're mowing them down putting them into a one page front and back but one page.
Mortgage disclosure form.
It's something the community banks lost because it's going to be cheaper on the regulatory front for them.
And good for consumers because it means they have better information.
That's where we're headed make.
These markets work and it'll it'll cut down on the ink jet toner printer and all of that up before we definitely -- -- -- we go.
You said you're still gonna be out there teaching -- trying to throw rocks my question to you -- without being in the form of a run for senate.
In the state of Massachusetts on people talked about it Elizabeth so I'm just asking you.
Would you ever rule out a run for any kind of office.
So look.
I've been at this fourteen hours a day for over a year now and I'm really haven't had any time off.
What I'm doing right now is I'm gonna take a step back.
I'm gonna take my little Korean babies to Lego land that's where my future -- and up.
That's where I'm headed right now.
Professor Elizabeth Warren we thank you for your service and you've been working very hard all this time and it'll be interesting to see where you go next so thank you very much thank you.
