Trump advisor for Dodd-Frank surgery rather than dismemberment?

by Ryan Smith10 Nov 2016
Many in the financial services industry hope that one of Donald Trump’s first priorities as president will be to repeal the controversial Dodd-Frank Act, which Republicans have long decried as unduly burdensome. But for one of the people thought to be on Trump’s shortlist for Treasury secretary, revising the act may be preferable to replacing it.

Trump’s chief campaign fundraiser, Steve Mnuchin, is widely thought to be a probably pick for secretary of the Treasury. Trump said at a private event in July that Mnuchin would be good at the job, and the Dune Capital Management chairman is also a 17-year veteran of Goldman Sachs.

But Mnuchin has been more cautious about the fate of Dodd-Frank than others in the Trump campaign who’ve promised to dismantle the legislation. All Mnuchin has said thus far is that the act “needs to be looked at.”

That caution might not sit well with congressional Republicans, who have long pushed for a complete repeal. Rep. Jeb Hensarling (R-Texas), chairman of the House Financial Services Committee, has for months pushed a Republican alternative to Dodd-Frank, the Financial CHOICE Act, which he and other Republicans say would protect consumers without the onerous regulations put in place by the current legislation.
 
 

COMMENTS

  • by Gary J. Heinecke | 11/10/2016 4:00:00 PM

    Goldman Sachs 17 year affiliation? This says it all. President elect Trump-- I campaigned for you on the basis of your promise to dismantle the Dodd Frank. This is also what the Republicans were pushing for? One set of rules for banks and lenders and other for brokers. HERE WE GO AGAIN! I would hope you would have a better course than this Mr. Trump!

  • by Pretty please | 11/10/2016 4:01:54 PM

    Steve needs to give brokers their money back! We were cut over 40% from what the states allowed, at least my state of Connecticut. We meet with people and spend lots of time with people and things don't come to fruition. We do refinances and the appraisal doesn't come out after doing all the work, we do purchases and people change their minds or they lose their job right before closing on the mortgage. We need to be compensated for those losses and bring our compensation back to what it was prior to Dodd Frank or more.

  • by Hr 3393 | 11/10/2016 4:12:27 PM

    Dodd Frank and the compensation hurts the customer due to the fact that banks make a boatload or unlimited amounts of money on small mortgage amounts and charge the consumer higher interest-rate's. Brokers can't afford to do the lower mortgage amount's but brokers do over 50% of the total business in the country. The people that run this country don't understand this… So two things happen, the consumer can only go to Banks who will either charge them a higher interest rate to get that mortgage or flat out deny the customer. Hopefully congress will wake up and understand that competition is good. Congress needs to back HR 3393 and hopefully the person that I voted for to be president, Donald Trump, will sign it.

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