Skip to main content
Menu Icon

In The News

Jeffrey P. Naimon quoted in American Banker article, “How much should banks fear a Democratic victory in 2020?”

American Banker

Jeffrey P. Naimon

Jeffrey P. Naimon was quoted on November 17, 2019 in an American Banker article, “How much should banks fear a Democratic victory in 2020?” which discussed that despite the aggressive stances of some Democrats running for president, the election of a progressive candidate is unlikely to result in an immediate re-regulation of the financial services sector, noting that heads of various agencies – CFPB, OCC, FDIC, FHFA, and the Fed – are able to hold their seats for a number of years following the election. The article stated, “But the Supreme Court case on the constitutionality of the CFPB leadership structure could change that equation. If the court rules that a president can unseat a CFPB director without a finding of cause, that would allow the new administration, for example, to stiffen underwriting standards for payday lenders that Kraninger has sought to weaken, revive the agency's Obama-era focus on enforcement and strengthen other rules such as debt collector standards.”

Naimon noted, "Some of the changes that a Democratic president might seek would involve the CFPB, such as new rules on payday lending and debt collection. The speed with which a Democratic president could press for those changes is tied somewhat to the pending case before the Supreme Court related to whether the president can fire the CFPB director without cause. That case should be resolved before the 2020 election.”

Click here to read the full article