What is the Dodd-Frank Wall Street Reform and Consumer Protection Act?

The Dodd-Frank Wall Street Reform and Consumer Protection Act is a landmark financial reform law established by the United States government in 2010 in response to the Great Recession. The law is designed to protect consumers from unfair or deceptive practices in the banking and financial industry, as well as to prevent future financial crises. It also aimed to bring back transparency and accountability into the banking and finance sector. The Dodd-Frank law introduced many sweeping changes. The act created the Consumer Financial Protection Bureau, an independent federal agency whose purpose is to protect consumers with regards to credit, banking, and other financial services. It also establishes strict oversight of large financial institutions, limiting their ability to take on excessive risk. The Dodd-Frank Act also provides the federal government with the power to regulate certain aspects of the banking and financial industries, including mortgage lending, asset-backed securities, and derivatives trading. The regulation of these areas is designed to protect consumers from predatory practices, such as high-cost loans and hidden fees. In North Carolina, the Dodd-Frank Act is enforced by the North Carolina Attorney General’s Office. Through their oversight, they are able to investigate allegations of fraud, enforce consumer laws, and monitor compliance by financial institutions. Additionally, the North Carolina Commissioner of Banks works with the federal government to ensure that the state’s financial institutions follow the provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act.

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What is the Dodd-Frank Wall Street Reform and Consumer Protection Act?

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