Elizabeth Warren has become a progressive hero since being elected to the Senate in Massachusetts after her appointment as the head of the Consumer Financial Protection Bureau was blocked. Part of what has made Warren so popular among so many is the frustration that the public has with big banks, whose dishonest financial dealings led to the subprime mortgage meltdown that crashed the real estate and stock markets (and very nearly the entire economy) in 2008.
Miami foreclosure lawyers know that banks have not faced prosecution and have largely gone unpunished for dishonest behavior in selling bad mortgage loans to investors. Close relationships among many politicians and Wall Street; a revolving door for regulators; and a lack of action on the part of the government have many concerned. Warren has proven unafraid to stand up and ask the tough questions, drawing the public’s attention to the problem that “too-big-to-fail” also seems to mean “too-big to jail.”
Elizabeth Warren Takes on Big Banks
NBC recently reported that Warren’s stance on the banks and on economic issues has resulted in some people calling on the Senator to run for president in 2016. Although Warren has indicated that she is not interested in running for this office, she is serious about fighting for the rights of individuals who have been affected by the abuses in the financial industry. Her actions are not only earning her accolades among progressives but are also helping to shape the democrat’s agenda.
Part of Warren’s appeal is that she is able to explain things clearly and she is able to ask questions that get to the heart of the issue. At a recent confirmation hearing for President Obama’s nominee to head the Federal Reserve, Janet Yellen, Warren told Yellen: “The truth is if the regulators had done their jobs and reined in the banks, we wouldn’t need to be talking about Quantitative Easing because we could have avoided the 2008 crisis altogether.” Quantitative Easing is the practice of printing money to buy bonds that the Federal Reserve has been using in recent years to try to bolster the economy among ongoing high rates of unemployment.
Warren’s statement voices the frustrations of many that the Federal Reserve and regulators failed the public just as much as the banks did by not preventing Wall Street from chasing short term profits by packaging and selling bad debt with deceptive credit ratings. Millions of people saw their investments decline and lost their homes, while the banks went unpunished.
These frustrations among the public have grown since 2008, especially since new regulations designed to reign in bank abuses and prevent further problems have now largely proven ineffective. The Dodd-Frank regulatory regime, for example, has done little to curb the problem of “too big to fail” and Warren has said “the risk to the system has grown.” Dodd Frank may be failing to actually have an impact on bank operations because regulatory agencies have missed more than 60 percent of their statutory deadlines to issue detailed rules for firms that are being monitored. Whatever the reason for the regulatory failure, the public has seen little progress in protection from bank abuses, and they see Warren as their hope to change all that.
Warren wants to make certain that the banks don’t cause future financial harm, stating unequivocally that ‘We need to make reigning in the banks a top priority.” It is this message that has made her so popular, and hopefully that will spur congress to take action so the public can be protected from more crises caused by financial abuses and big banks.
If you’re battling foreclosure in Miami or the surrounding areas contact Jacobs Legal for a confidential appointment to discuss your rights. Call (305) 358-7991. Also, don’t miss Miami Foreclosure Attorney Bruce Jacobs on 880AM/the Biz, every Wednesday from 5 p.m. to 6 p.m. on “Mortgage Wars,” discussing foreclosure topics that matter to YOU.
More Blog Entries:
Miami Foreclosure Lawyers on Remaining in a Foreclosed Home, Oct. 16, 2013, Miami Foreclosure Defense Lawyer Blog