Financial Services Committee to examine Dodd-Frank law

With the anniversary of the Dodd-Frank Act two weeks away, House Financial Services Committee Chairman Jeb Hensarling (R-TX) said on Monday that his committee will hold hearings aimed at discovering how the law has affected Americans and the nation’s economy. 

“President Obama signed Dodd-Frank into law five years ago with much fanfare and celebration,” Hensarling said. “We were told Dodd-Frank would ‘lift the economy,’ ‘end too big to fail’ and ‘increase financial stability.’ Instead, five years later, the big banks are bigger, the small banks are fewer and the economy remains moribund. Low and moderate income Americans have lost free checking, seen small business lines of credit evaporate; and it’s now harder for them to achieve financial independence.”

The first hearing will take place at 10 a.m. Thursday,  The second hearing is planned for July 28, and the third hearing is yet to be scheduled.

“Never before has more unchecked discretionary authority been given to unaccountable government bureaucrats,” Hensarling added. “Regrettably, the result is less freedom, fewer and more expensive choices, and reduced upward mobility for low and moderate income Americans.”

Hensarling also will give an address on July 21, the actual anniversary date of the Dodd-Frank Act being signed into law, at the American Enterprise Institute (AEI) in Washington, DC.

“Whether we like it or not, Dodd-Frank is the single most sweeping rewrite of our financial services laws since the New Deal,” he concluded. “We would be negligent if we did not constantly monitor its implementation and impact.”