Golden Secures Amendment to Protect Veterans and Servicemembers from Financial Fraud, Abuse
Golden provision to ensure consumer watchdog works for veterans and servicemembers passes as part of the Consumers First Act
VIDEO: Golden calls for support for his amendment on House floor
WASHINGTON — Congressman Golden (ME-02) took action to protect veterans, servicemembers, and their families today, securing an amendment in HR 1500, the Consumers First Act. Golden's amendment, included unanimously in the final bill that passed the House, would better ensure the Consumer Financial Protection Bureau's (CFPB) policies and actions reflect the needs of servicemembers and veterans by opening CFPB's Consumer Advisory Board to representatives of the military and veterans communities.
"Travel just outside of a military base and you'll find payday lenders, title loan companies, and supplemental life insurance schemes all looking for their next target," said Congressman Golden on the House floor. "One of the many challenges facing our military men and women are the countless scams that exist in the financial marketplace... My amendment helps ensure that the CFPB can better protect veterans and servicemembers from financial abuse, fraud, and scams."
The Consumers First Act, among other provisions, reinstates the CFPB's Consumer Advisory Board. The Board informs CFPB about emerging financial threats to consumers, shares analysis and recommendations on CFPB actions and policies, and assess the consumer impact of emerging financial products, practices, and services. Golden's amendment would require CFPB's director to open the Advisory Board to qualified representatives who are service members, veterans, or family members of veterans or service members.
Veterans make up only six percent of the U.S. population, but are twice as likely to fall victim to predatory lending compared to nonveterans. A 2017 AARP study found nearly 80 percent of veterans reported being targeted by financial scams like fake charities or misleading loan refinancing services looking to steal their federal benefits. Since 2011, the CFPB has received approximately 123,500 complaints about scams, fraud, and other harmful financial practices from servicemembers. From 2016 to 2017 there was a 47% increase in complaints received from servicemembers.
Congressman Golden's amendment would help veterans avoid these scams by giving them a voice at the table where financial scam, fraud, and abuse activity is assessed and responded to and ensure that the Advisory Board can better identify the financial threats facing servicemembers and veterans.
You can watch Congressman Golden present his amendment on the House floor here.