The Dodd-Frank Act and Financial Reform

In the fall of 2008, the United States slid into aan accredited investor
recession that affected many other countries- Establishing the Federal Insurance Office to
across the globe. This led to massive amounts ofoversee insurance companies and monitor the
taxpayer money given to corporations as bailouts,treatment of consumers
and as this failed, people began to call for reform.- Limiting proprietary trading for banks
This came in the form of the Dodd-Frank Wall- Regulating and controlling derivatives trading and
Street Reform and Consumer Protection Act,"security-based swaps"
which was passed in July of 2010.- Allowing the Federal Reserve to monitor
The Dodd-Frank Act was constructed bypayments, clearing, and settlement of financial
Representative Barney Frank and Senator Chrismarket utilities
Dodd in order to increase the transparency and- Protecting investors by realigning the Securities
financial accountability of banks and corporations.and Exchange Commission
There are many provisions of the Act, which- Establishing the Bureau of Consumer Financial
serve to protect American taxpayers, endProtection
bailouts, increase oversight, and end the "too big- Changing the New York Federal Reserve
to fail" attitude towards large corporations. ToPresident to a Presidential appointment
further these goals, the Dodd-Frank Act includes- Encouraging low-income people to invest, get
provisions such as:loans, open bank accounts, etc.
- Creating the Financial Stability Oversight Council- Eliminating bailouts from taxpayer money
and Office of Financial Research to supervise the- Regulating mortgage lending
Federal Reserve holdings and keep an eye on theAdditionally, the Dodd-Frank Act encourages
economywhistleblowers to bring forth any information that
- Regulating the liquidation of financial institutionsthey have regarding financial fraud. If this
- Streamlining bank regulation, which includesinformation leads to a successful case, you may
abolishing the Office of Thrift Supervisionbe entitled to a portion of the damages awarded.
- Increasing the reporting requirements forTo protect yourself and your fellow citizens, you
investment advisers, and changing the definition ofshould not allow financial fraud to go unpunished.