Op-Ed
Consumer Complaints Pays Off in $1.6 Billion Relief
By Charlene Crowell
NNPA Columnist
Financial stress can feel like a lonely struggle. But according to a new report by the Consumer Financial Protection Bureau (CFPB), 460,700 consumers shared many of the same financial concerns and contacted the agency for help from July 2011 to September 2014.
During this period, CFPB’s related investigations and enforcement actions on a range of financial concerns from discriminatory credit card practices to violations of federal laws to protect military service members, and more brought $1.6 billion in relief to consumers. Since its inception in 2011, CFPB has helped more than 15 million consumers nationwide and cumulatively recovered more than $5.3 billion in relief.
Some could say that returning monies to consumers is just a case of the squeaky wheel getting the grease. However Richard Cordray, CFPB’s Director, takes another view.
“Through fair rules, consistent oversight, appropriate enforcement of the law, and broad-based consumer engagement, the Bureau is helping to restore American families’ trust in consumer financial markets, protect consumers from improper conduct, and ensure access to fair, competitive and transparent markets,” said Cordray.
Created in the aftermath of the worst recession of this generation, CFPB became the cornerstone of the Dodd-Frank Financial Reform Act and the nation’s first federal agency with the sole focus of protecting consumers in the financial marketplace. For communities of color who became targets for predatory loans, CFPB’s enforcement authority provides a two-pronged government action: financially penalizing lenders that violate fair lending laws and then compensating affected consumers.
Another Dodd-Frank provision requires that CFPB make semi-annual reports to Congress, detailing its actions, rule-making, and efforts to ensure that all financial markets observe fair, competitive and transparent transactions.
Of all the complaints filed during the reporting period of April 1- September 30, 2014, debt collection was the number one concern measured by consumer complaints (36 percent). Among military service members, debt collection was an even larger concern at 53 percent. Right now, CFPB is also continuing investigations of major debt collection firms regarding collections practices.
CFPB’s analysis of complaints reveal the most troublesome practices are collectors pursuing them for debts not currently owed. Consumers cited how collections continued despite identity theft, bankruptcy discharges or even debts owed by other consumers. In many other instances, consumers only learned about debt collection accounts after reviewing their credit reports. Complaints were also filed about repeated calls, abusive or obscene language, threats of arrest or lawsuits, and false statements or representations.
“The volume and types of debt collection complaints underscore many of the problems that exist in the debt collection and debt buying industry today,” said Lisa Stifler, policy counsel with the Center for Responsible Lending (CRL). “These problems, such as questionable and incomplete information about debts and consumers, often result in the abusive and harassing behavior about which individuals complain. Fortunately, CFPB rulemaking, oversight and enforcement activity should help to address many of the most harmful debt collection practices.”
In mortgage lending, issues, more than 80 percent were about two specific problem areas: inability to pay and problems with loan servicers or escrow accounts when payments were being made. Nearly half of all mortgage complaints – 49 percent – noted problems with loan modification, collection and foreclosure. An additional 35 percent of mortgage complaints focused on loan servicing, escrow accounts and payments.
For troubled homeowners, complaints filed alleged that some mortgage servicers do not amend derogatory credit reporting during trial periods – even after indicating to consumers that they would do so. Borrowers facing foreclosure have told CFPB their concerns with fees charged as part of the foreclosure process. According to complaints, the fees pose a substantial obstacle to avoiding foreclosure as many servicers do not roll them into the loan balance. In other instances, consumers never receive an itemization of fees assessed; but are given a one line-item reinstatement quote.
“These complaints reveal that consumers continue to face significant challenges within the mortgage industry,” said Nikitra Bailey, CRL vice-president. “The goal of clear and transparent lending is not happening for everyone. That should be the standard, rather than the exception. The CFPB is positioned to ensure fairness for all consumers.”
If you or someone you know believes he/she is troubled by a consumer lending issue, CFPB accepts online complaints on: auto loan or lease, bank account services, credit cards, credit reporting, debt collection, mortgages, student and payday loans. Complaints can also be filed by phone at 1-855-411-2373. Mailed and faxed complaints are also accepted.
For consumers who only want to bring an issue to its attention, CFPB enables them to share their concerns too.
Director Cordray told the House Financial Services Committee, “The premise at the heart of our mission is that consumers deserve to be treated fairly in the financial marketplace, and they should have someone stand on their side when that does not happen,”
Charlene Crowell is a communications manager with the Center for Responsible Lending. She can be reached at Charlene.crowell@responsiblelending.org.
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Commentary
California Respects the Power of Your Vote
As California Secretary of State, I do not take the progress we have made over the years lightly. My staff and I hold sacred the obligation to ensure that our elections are safe, free, fair, and accessible to all. Therefore, before certifying the results for this year’s election on Dec. 13, we have taken a number of steps to ensure that every vote is counted. We have also made sure that our ballot counting process is credible and free from interference.
By Shirley N. Weber, Ph.D.,
California Secretary of State
Californians can confidently claim this: California has made more significant reforms to our election laws and expanded voting rights than any other state.
The relevance of this accomplishment deepens as we prepare to celebrate the 60th anniversary of the Voting Rights Act next year. This landmark legislation began to undo our country’s long history of voter suppression, intimidation, and disenfranchisement that far too many Americans experienced at the polls for decades.
My own parents, who were sharecroppers, were denied their right to vote in the Jim Crow era South. Before moving to Los Angeles from Hope, Arkansas, my parents, David and Mildred Nash, could not vote. My father was an adult with six children before he registered to vote and was only able to exercise that constitutional right for the first time here in California.
As California Secretary of State, I do not take the progress we have made over the years lightly. My staff and I hold sacred the obligation to ensure that our elections are safe, free, fair, and accessible to all.
Therefore, before certifying the results for this year’s election on Dec. 13, we have taken a number of steps to ensure that every vote is counted. We have also made sure that our ballot counting process is credible and free from interference.
To meet that deadline without a hitch, California requires elections officials in all 58 counties to turn in their official results by a certain date. This year, that date was Dec. 6.
By law, every eligible voter in our state receives a vote-by-mail ballot. This ensures all registered voters can exercise their right to vote.
Whether you placed your ballot in a designated drop-off box, voted by mail, or cast your ballot at a polling center, votes are safe and secure. And we allow voters to sign up to receive text message, email, or voice call notifications about the status of their own ballots by using the Where’s My Ballot? tool. To learn more or to sign up, paste this URL in your web browser: https://california.ballottrax.net/voter/
The ballots of Californians who voted by mail are also protected. The United States Postal Service partners with the State to make sure ballots are delivered on time. All mailed-in ballots are sent by First Class mail with a postage paid envelope provided to every eligible registered voter.
Election Security is our No. 1 priority. That’s why my office designed and implemented a program to back up that commitment. For more information, visit this URL: https://www.sos.ca.gov/elections/election-cybersecurity
Additionally, California takes preventive actions to make sure our voting technology keeps our elections safe and protects everyone’s votes.
For example, county voting systems are not connected to the internet, which protects them from cyberthreats. The State also performs regular and rigorous testing to make sure the voting systems are working optimally, and only authorized personnel are granted access.
Staff members are also given phishing and cybersecurity training.
VoteCal, the state’s centralized voter registration system, is also key. The system is regularly updated, and it is used as a resource for counties to verify voter signatures.
California also provides security at all counting locations and makes sure ballot drop-off boxes are secured and monitored.
And all election processes are open to observation during specified hours.
In my role as Secretary of State of California, there is nothing more important to me than defending our democracy.
I am committed to safeguarding voting rights, and to leading our state in upholding the highest democratic standards by implementing policies and practices that Californians and all Americans can trust and look to for instruction and hope.
You can contact the California Office of the Secretary of State at 1-800-345-Vote or elections@sos.ca.gov with inquiries or to report suspected incidents or irregularities. Additional information can be found at www.sos.ca.gov and the office’s social media platforms:
Instagram: @californiasos_
Facebook: Facebook.com/CaliforniaSOS
X: @CASOSVote
Activism
COMMENTARY: PEN Oakland Entices: When the News is Bad, Try Poetry
Strongman politics is not for the weak. Here in the U.S., Donald Trump is testing how strongman politics could work in the world’s model democracy.
By Emil Guillermo
As the world falls apart, you need more poetry in your life.
I was convinced on Tuesday when a weak and unpopular president of South Korea — a free nation U.S. ally — tried to save himself by declaring martial law.
Was it a stunt? Maybe. But indicative of the South Korean president’s weakness, almost immediately, the parliament there voted down his declaration.
The takeaway: in politics, nothing quite works like it used to.
Strongman politics is not for the weak. Here in the U.S., Donald Trump is testing how strongman politics could work in the world’s model democracy.
Right now, we need more than a prayer.
NEWS ANTIDOTE? LITERATURE
As we prepare for another Trump administration, my advice: Take a deep breath, and read more poetry, essays and novels.
From “Poetry, Essays and Novels,” the acronym PEN is derived.
Which ones to read?
Register (tickets are limited) to join Tennessee Reed and myself as we host PEN OAKLAND’s award ceremony this Saturday on Zoom, in association with the Oakland Public Library.
Find out about what’s worth a read from local artists and writers like Cheryl Fabio, Jack Foley, Maw Shein Win, and Lucille Lang Day.
Hear from award winning writers like Henry Threadgill, Brent Hayes Edwards and Airea D. Matthews.
PEN Oakland is the local branch of the national PEN. Co-founded by the renowned Oakland writer, playwright, poet and novelist Ishmael Reed, Oakland PEN is special because it is a leader in fighting to include multicultural voices.
Reed is still writing. So is his wife Carla Blank, whose title essay in the new book, “A Jew in Ramallah, And Other Essays,” (Baraka Books), provides an artist’s perspective on the conflict in Gaza.
Of all Reed’s work, it’s his poetry that I’ve found the most musical and inspiring.
It’s made me start writing and enjoying poetry more intentionally. This year, I was named poet laureate of my small San Joaquin rural town.
Now as a member of Oakland PEN, I can say, yes, I have written poetry and essays, but not a novel. One man shows I’ve written, so I have my own sub-group. My acronym: Oakland PEOMS.
Reed’s most recent book of poetry, “Why the Black Hole Sings the Blues, Poems 2007-2020” is one of my favorites. One poem especially captures the emerging xenophobia of the day. I offer you the first stanza of “The Banishment.”
We don’t want you here
Your crops grow better than ours
We don’t want you here
You’re not one of our kind
We’ll drive you out
As thou you were never here
Your names, family, and history
We’ll make them all disappear.
There’s more. But that stanza captures the anxiety many of us feel from the threat of mass deportations. The poem was written more than four years ago during the first Trump administration.
We’ve lived through all this before. And survived.
The news sometimes lulls us into acquiescence, but poetry strikes at the heart and forces us to see and feel more clearly.
About the Author
Emil Guillermo is a journalist and commentator. Join him at www.patreon.com/emilamok
Bay Area
In the City Attorney Race, Ryan Richardson Is Better for Oakland
It’s been two years since negotiations broke down between the City of Oakland and a developer who wants to build a coal terminal here, and the issue has reappeared, quietly, in the upcoming race for Oakland City attorney. Two candidates are running for the position of Oakland City Attorney in November: current Assistant Chief City Attorney Ryan Richardson and retired judge Brenda Harbin-Forte.
By Margaret Rossoff
Special to The Post
OPINION
It’s been two years since negotiations broke down between the City of Oakland and a developer who wants to build a coal terminal here, and the issue has reappeared, quietly, in the upcoming race for Oakland City attorney.
Two candidates are running for the position of Oakland City Attorney in November: current Assistant Chief City Attorney Ryan Richardson and retired judge Brenda Harbin-Forte.
Richardson has worked in the Office of the City Attorney since 2014 and is likely to continue current City Attorney Barbara Parker’s policies managing the department. He has committed not to accept campaign contributions from developers who want to store and handle coal at a proposed marine terminal in Oakland.
Retired Judge Harbin-Forte launched and has played a leading role in the campaign to recall Mayor Sheng Thao, which is also on the November ballot. She has stepped back from the recall campaign to focus on her candidacy. The East Bay Times noted, “Harbin-Forte’s decision to lead the recall campaign against a potential future client is … troubling — and is likely to undermine her ability, if she were to win, to work effectively.”
Harbin-Forte has refused to rule out accepting campaign support from coal terminal interests or their agents. Coal terminal lobbyist Greg McConnell’s Independent Expenditure Committee “SOS Oakland” is backing her campaign.
In the 2022 mayor’s race, parties hoping to build a coal terminal made $600,000 in contributions to another of McConnell’s Independent Expenditure Committees.
In a recent interview, Harbin-Forte said she is open to “listening to both sides” and will be “fair.” However, the City Attorney’s job is not to judge fairly between the City and its legal opponents – it is to represent the City against its opponents.
She thought that the 2022 settlement negotiations ended because the City “rejected a ‘no coal’ settlement.” This is lobbyist McConnell’s narrative, in contrast to the report by City Attorney Barbara Parker. Parker has explained that the City continued to negotiate in good faith for a settlement with no “loopholes” that could have allowed coal to ship through Oakland – until would-be coal developer Phil Tagami broke off negotiations.
One of Harbin-Forte’s main priorities, listed on her website, is “reducing reliance on outside law firms,” and instead use the lawyers working in the City Attorney’s office.
However, sometimes this office doesn’t have the extensive expertise available that outside firms can provide in major litigation. In the ongoing, high stakes coal litigation, the City has benefited from collaborating with experienced, specialized attorneys who could take on the nationally prominent firms representing the City’s opponents.
The City will continue to need this expertise as it pursues an appeal of the judge’s decision that restored the developer’s lease and defends against a billion-dollar lawsuit brought by the hedge fund operator who holds the sublease on the property.
Harbin-Forte’s unwillingness to refuse campaign contributions from coal terminal interests, her opposition to using outside resources when needed, as well as her uncritical repetition of coal lobbyist McConnell’s claim that the City sabotaged the settlement talks of 2022 all raise serious concerns about how well she would represent the best interests of Oakland and Oaklanders if she is elected City Attorney.
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