What the Senate's CFPB Vote Means for You, Your Bank and Your Credit Card
The U.S. Senate voted 51-50 to repeal a banking rule that allowed consumers to sure their bank or credit card company. The tie-breaking vote was cast by Vice President Mike Pence.
What does the Senate's vote mean for you, your bank and your credit card?
Eliminating the rule will affect tens of millions of Americans who are often unaware that, when they signed up for a credit card or a bank account, are covered by an arbitration clause. Arbitration clauses are regularly tucked into terms and conditions by companies as a way of preventing disputes from ending up in court.
The Consumer Financial Protection Bureau issued a rule that would prevent companies from using arbitration clauses to block class action suits. Republicans had been critical of these plans prior to overturning the rule.
The CFPB believes that eliminating the rule will make it "nearly impossible for most consumers to get justice and relief for wrongdoing".
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