WASHINGTON (WCMH) – President Trump is expected to sign a bill to repeal a consumer protection rule that would have made it easier for you to sue your bank, credit card company, or other financial institution.
The Senate voted late Tuesday night to do away with the rule. Vice President Mike Pence had to cast the deciding vote to break a 50-50 tie in the Senate.
Senator Sherrod Brown had been working to protect the Consumer Financial Protection Bureau rule.
“It was despicable what happened last night…an example of middle of the night shenanigans,” said Brown.
The rule would have made it illegal for financial companies to make you sign a contract in which you give up the right to a class action lawsuit. The “fine print” requires you to settle disputes in private arbitration.
“The Senate took away people’s right to their day in court — to fight back against Equifax, Wells Fargo and against Wall Street,” said Brown.
The Financial industry had lobbied Congress to repeal the rule.
Republicans like Texas Senator John Cornyn said lawsuits are complicated and expensive.
“Not everyone can afford to be OJ Simpson and hire the very best lawyers in America,” said Cornyn.
Senator Chuck Grassley said consumers are better off without the rule.
“Awards made under arbitration are bigger and better for the person that’s been harmed as opposed to what that same person might get in class action lawsuits,” said Grassley.
Brown doesn’t buy that argument.
“There is no evidence that people will get more money… When Wall Street said ‘Jump,’ they [Republicans] jumped and said how high?” said Brown.
The House voted to repeal the rule in July. The measure now heads to the President’s desk.