"It may or may not pass [the House], but I'm sure that it will not pass the United States Senate", Minority Whip Steny Hoyer told reporters Thursday afternoon before the vote. "One-size-fits-all financial policies from big banks have meant higher thresholds for saving accounts, for waiving of credit fees and for other consumer options".
Republican supporters of the bill claim Dodd-Frank stifles small business and the domestic economy with too much regulation.
The House approved the legislation amid excitement over the fired Federal Bureau of Investigation director's much-hyped Senate Intelligence Committee testimony.
The financial crisis of 2008 sent shockwaves through the US economy.
President Donald Trump sent his congratulations to House Financial Services Committee chairman Jeb Hensarling after the House passed his legislation repealing parts of the Dodd-Frank Act. Democrats disagree, claiming that Dodd-Frank is needed to prevent a repeat of the calamity that occurred during the past year of the younger Bush's administration.
Supporters say the bill, dubbed the Financial CHOICE Act, provides a simpler alternative to the oversight measures known as the Dodd-Frank Act, which passed in the wake of the financial crisis. Ryan, a longtime Hensarling ally, has called the CHOICE Act "the crown jewel" of the GOP deregulation agenda.
The Financial CHOICE Act undercuts several major provisions in Dodd-Frank, including the Consumer Finance Protection Bureau, an independent agency now empowered to protect consumers from deceptive banking practices through fines, lawsuits and market rules. It would no longer control its own budget, its director would be appointed by the president, and it would lose its authority to crack down on "unfair, abusive and deceptive practices". Instead, the Senate is more interested in a broad-based bipartisan bill that focuses on economic growth and could include some financial regulation reform, NBC News has reported.
"It's shameful that Republicans have voted to do the bidding of Wall Street at the expense of Main Street and our economy". Its journey through the Senate, however, is expected to be much more hard, with Democrats keen to curtail any attempts to soften regulation of financial services. Elizabeth Warren, D-Mass., and which has pledged to fight for its independence. "Dems enacted the strongest consumer financial protections in history". Have you tried getting a mortgage recently?
The Republican bill would take away the consumer bureau's ability to monitor financial firms to ensure they are following laws, a key part of Dodd-Frank, the Los Angeles Times reported. "We can't afford to take the financial cop off the beat and roll back the critical reforms adopted to protect our wallets".