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Proposed Consumer Agency Won’t Regulate Major Lenders

HeadlineMar 11, 2010

More details have emerged on a proposed compromise on the makeup of the Obama administration’s proposed federal consumer protection agency. The Washington Post reports several key lenders would be shielded from the agency’s purview. Compliance checks would be held only at banks and mortgage firms, but not controversial lenders such as payday lenders, pawnbrokers, car dealers and other companies that make loans but don’t hold bank charters. The proposal is expected to be unveiled in the coming days as part of the bipartisan financial regulation overhaul from Senate Banking Committee Chair Christopher Dodd and Republican Senator Bob Corker.

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