Legislative Advocacy

The National Association of Consumer Advocates is a member supported organization. Our mission is to promote justice for all consumers by maintaining a forum for communication, networking, and information sharing among consumer advocates across the country.

NACA serves as a voice for its members and consumers in the ongoing struggle to curb unfair and abusive business practices that adversely affect consumers. Examples of our legislative advocacy can be found here, in the letters we send and receive on behalf of our cause.

2/17/2010
NACA Supports MD House Bill 379 Consumer Protection- Transparency in Consumer Arbitration Act (Download File

) NACA sent a letter to MD Delegate Sandy Rosenberg supporting the MD House Bill 379 for Consumer Protection- Transparency in Consumer Arbitration Act. Download the letter to read it in full.

1/14/2010
Letter to Congressman Tierney Supporting HR 4300 (Download File

) The Restoring America's Commitment to Consumer's Act is an important piece of legislation because it stops the credit card industry's practice of imposing abusive interest rates and fees. By capping credit card interest rates at 16% and limiting the amount of fees charged to consumers, HR 4300 helps end the cycle of debt that burden so many American families.

12/11/2009
Consumer Financial Protection Agency Is A Must (Download File

) As the House of Representatives debates and votes on the Wall Street Reform and Consumer Protection Act of 2009, it is important to recognize the debate that is about to occur in the Senate. Sen. Christopher Dodd has introduced a strong financial regulatory reform package that would rightly establish a much-needed independent consumer protection agency. The rampant rate of foreclosures, abusive credit card practices and excessive banking fees reflect how lax consumer protection laws drive hard-working Americans into a debilitating cycle of debt that is damaging to the health of our overall economy. Consequently, Dodd must stand firm on his proposal to create a strong independent Consumer Financial Protection Agency that puts protecting the American consumer first. Daniel S. Blinn, Glastonbury •The writer is chairman of the Connecticut Chapter of the National Association of Consumer Advocates.
Related Links: Record a Comment Online

11/2/2009
Letter to U. S. House of Representatives Supporting the Medical Debt Relief Act of 2009 (Download File

) This legislation will address the growing problem of medical debt on consumers’ credit reports. The number of American adults under the age of 65 carrying medical debt jumped from 21 percent in 2005 to 28 percent in 2007. According to the Commonwealth Fund, nearly 78 million working age adults accrued medical debt in 2007. That same year, twenty-eight million Americans were contacted by a collection agency for unpaid medical bills. Many consumers are not even aware that medical bills are found on their credit reports as a “debt in collection.” Unfortunately, one negative medical collection mark can drop a consumer's credit score, potentially costing that consumer thousands of dollars in higher interest rates on home and automobile loans, credit cards and other revolving lines of credit. Moreover, even after consumers have paid off delinquent medical debt, the negative information stays on their credit record for seven years.

10/28/2009
Letter to the US House of Representatives, and the US Senate Applauding Support of the Fairness and Accountability in Receiving (FAIR) Overdraft Coverage Act of 2009 (Download File

) Overdraft loans cost consumers nearly $24 billion each year and are typically charged without consumers’ explicit consent. Fee-based overdraft coverage is, by far, the most expensive way to have an overdraft covered. But financial institutions typically automatically enroll their customers into this coverage, rather than encouraging them to choose among lower cost options. Often, these financial institutions then manipulate the order in which they post transactions, which further maximizes fees.

10/19/2009
Letter to Hon. Herbert M. Allison, Jr. Requesting a Meeting to Discuss the Administration’s Efforts to Prevent Mortgage Foreclosures (Download File

) The undersigned consumer, community, labor and civil rights organizations write to request a meeting with you to discuss the Administration’s efforts to prevent mortgage foreclosures. Our organizations are on the front lines of this crisis, and have a deep concern about its impact: our members are directly affected by this problem, and many of us provide counseling and other forms of assistance to homeowners who are in danger of losing their homes.

10/19/2009
Letter to Senate Chairmen Daniel Inouye and John Murtha Expressing Strong Support for the Franken Amendment to H.R. 3326, the Defense Appropriations Act for 2010 (S. Amdt. 2558) (Download File

) On behalf of the Leadership Conference on Civil Rights (LCCR), the nation’s oldest, largest, and most diverse civil and human rights coalition, as well as the Lawyers’ Committee for Civil Rights Under Law, National Partnership for Women & Families, Public Citizen, National Employment Lawyers Association, and other organizations focused on protecting our nation’s civil rights laws, we write to express our strong support for the Franken Amendment to H.R. 3326, the Defense Appropriations Act for 2010 (S. Amdt. 2558). Please ensure that this amendment remains a part of the final bill as it was passed by the Senate, without being weakened.

10/8/2009
Coalition Letter to Representative Frank Regarding School Loan Exemption in H.R. 3126 Consumer Financial Protection Agency (Download File

) Thank you for your leadership in advancing legislation to create a much-needed Consumer Financial Protection Agency (CFPA). As advocates for consumers, students, higher education and taxpayers, we strongly urge you to ensure the CFPA has full authority over all private student loans, regardless of the institution offering the loan. We are concerned that clarifications to address small business concerns have inadvertently exempted dangerous private student loans made by large for-profit colleges from the CFPA’s enforcement authority.

10/7/2009
Letter to The House Regarding H.R. 3126 Consumer Financial Protection Agency: Auto Dealer Exemption (Download File

) Dear Chairman Frank, Ranking Member Bachus, and Members: We strongly urge you to ensure that all activities of auto dealers related to the financing of cars are fully included under the jurisdiction of the Consumer Financial Protection Agency. While we agree that the sale of just a car, where car buyers pay cash or obtain their own financing, should not fall under the supervision of the agency, loan financing represents a huge source of income for auto dealers. Increasing percentages -- currently a majority -- of dealer profits are derived not from the sale of the car itself, but rather from their “Finance and Insurance" departments, where seasoned, trained F & I managers, paid largely on commission, use sophisticated software programs to maximize the profits from the financing and add-ons in car sales transactions.

10/1/2009
Senator Al Franken Speaks Out Against Forces Arbitration by Introducing an Amendment to a DOD Appropriations Bill (Download File ) Click this link to YouTube to watch Senator Al Franken's amendment introduction to congress.
Related Links: YouTube-Sen. Franken's Amendment

9/21/2009
Letter to the FTC Regarding the National Accuracy Study (Download File

) There is consensus that the FTC’s pilot studies about credit report accuracy failed on several fronts. This is not surprising given the involvement of contractors with little background in Fair Information Practices principles and the dubious methodology they employed. Thus, it is crucial that the FTC “get it right” this time and fulfill the goals Congress set forth in the FACT Act. Please understand: We do not underestimate the challenges involved.

9/9/2009
Joint Statement of Consumer Groups on Announcement by Chairman Dodd (Download File

) “Consumer groups look forward to working with Chairman Chris Dodd and the entire Senate Banking Committee on enacting comprehensive financial reform that includes a strong Consumer Financial Protection Agency. Chairman Dodd’s leadership was critical in the passage of landmark credit card reforms earlier this year. The continuity of his leadership and his commitment to protecting consumers will be critical to expediting passage of strong reforms this year.”

8/13/2009
Coalition Encouraged by Bank of America's Decision to Stop Using Forced Arbitration; Now Congress Must Act (Download File

) The Fair Arbitration Now Coalition is encouraged by Bank of America’s decision to stop requiring its customers to resolve their disputes in the unfair system of forced arbitration. Forced arbitration clauses – which are buried in the fine print of everything from credit card terms and employee handbooks to nursing home admissions forms – eliminate consumers’ and employees’ access to the courts and require that they submit their disputes to a private system designed by corporations to favor their interests.

6/4/2009
Letter to the House strongly supporting H.R. 1508, the “Sunshine in Litigation Act of 2009" (Download File

) We, the undersigned national consumer advocacy organizations, strongly support H.R. 1508, the “Sunshine in Litigation Act of 2009.” This much needed legislation restricts court-ordered secrecy on matters that impact public health and safety and keeps corporations accountable for wrongdoing they would otherwise try to hide from the public.

5/28/2009
NACA Applauds the Recent Nomination of Judge Sonia Sotomayor to be Our Next Supreme Court Justice (Download File

) In nominating Judge Sotomayor, a jurist with a full range of life experiences, President Obama recognized the need to have judges who are willing to follow legal precedent and the law as it is written, while applying it fairly regardless of the political or economic power of the parties involved.

4/9/2009
A Call to Action for Real Financial Services Reform (Download File

) In the face of a full-blown global economic crisis, bold action is needed now by leaders in Congress, the Administration and the federal government to repair our nation’s broken financial system, establish integrity in the financial markets, and facilitate productive economic activity that benefits all segments of our communities.

3/30/2009
Letter to House Financial Services Committee Regarding H.R. 627, the Credit Cardholders' Bill of Rights Act (Download File

) The undersigned consumer, civil rights, small business, investor, community and labor organizations representing tens of millions of Americans strongly urge you to vote for H.R. 627, the Credit Cardholders' Bill of Rights Act (Rep. Maloney), when it is brought to a committee vote as early as this Wednesday, 1 April 2009. The bill passed the House on an overwhelming 312-112 vote, as HR 5244, in September 2008. It enjoys broad public support.

3/30/2009
Letter to the Federal Reserve System Bringing Attention to Abusive Overdraft Practices and Urging Them to Choose the Stronger Opt-In Proposal (Download File

) We, the undersigned civil rights, labor, consumer, housing and community groups, write to thank the Federal Reserve Board for bringing attention to abusive overdraft practices while urging you to choose the far stronger opt-in proposal.1 For a rule addressing fee-based overdraft to adequately protect consumers, it must at a minimum require institutions to obtain consumers’ affirmative consent. An opt-out arrangement will do little to alter the status quo.

3/27/2009
A Call to Action for Real Financial Services Reform (Download File

3/24/2009
Letter Urging Congress Not to Co-Sponsor or Support H.R. 1214, the “Payday Loan Reform Act of 2009.” (Download File

) Legalizing payday lending at triple digit interest rates runs counter to President Obama’s promise to cap payday and other loans at 36 percent annual rates and to existing protections provided by Congress to Service members and their families.

3/19/2009
Testimony Regarding H.R. 627, the Credit Cardholders Bill Of Rights Of 2009 & H.R. 1456, the Consumer Overdraft Protection Fair Practices Act Of 2009 (Download File

) Testimony of Twelve Consumer and Community Groups On HR 627 and HR 1456 Before the Subcommittee on Financial Institutions and Consumer Credit by Travis Plunkett of the Consumer Federation of America and Edmund Mierzwinski of U.S. PIRG.

3/16/2009
Letter to Request the Administration Reverse its Position on Cuomo v. Clearinghouse (Download File

) On behalf of the Leadership Conference on Civil Rights (LCCR) and the undersigned civil rights, human rights, labor, and consumer organizations, we respectfully request that you reverse the Bush administration’s position in Cuomo v. The Clearing House Ass’n, L.L.C., currently pending before the U.S. Supreme Court.

3/5/2009
Testimony Regarding Consumer Protection in the Used & Subprime Car Market (Download File

) This hearing is indeed timely, given the current meltdown in the automotive marketplace, which has created a devastating ripple effect impacting not only individual car buyers and their families, but also auto manufacturers and dealers, suppliers, auto workers, auto lenders, and our economy as a whole, as well as our ability to address climate change by accelerating purchases of newer, safer, more fuel efficient vehicles.

2/26/2009
“Consumer Protection and the Credit Crisis”- Testimony Before the United States Senate Committee On Commerce, Science and Technology (Download File

) While there is much to say about why we have a human-made disaster of this proportion, millions of American families are just desperately trying to cope with the reality of default or foreclosure on their mortgage loans, or are worried about looming difficulties in meeting their mortgage payments. I will try to address the unfair and deceptive practices targeting homeowners in foreclosure and how government can help protect these families in a time of intense distress.

2/19/2009
Rhonda Bosland v. Warnock Dodge, Inc. (A-97-07), New Jersey Supreme Court Decision, February 19, 2009. (Download File

) This matter calls upon the Court to consider whether a plaintiff, prior to instituting litigation pursuant to the Consumer Fraud Act (CFA), N.J.S.A. 56:8-1 to -20, must first request a refund of a claimed overcharge from an allegedly culpable merchant.

2/13/2009
NACA Joins Other Consumer Groups in a Letter to the Honorable Robert Menendez Commending Him for Introducing the Credit Card Reform Act. (Download File

) We the undersigned consumer, civil rights and labor organizations write to commend you for introducing the Credit Card Reform Act. As the U.S. economy balances precariously on the brink of recession, this important legislation will protect financially vulnerable families from many harmful practices that credit card companies use to unjustifiably increase fees and interest rates.

2/13/2009
Group Letter to the Honorable Christopher Dodd Voicing Strong Support for the Credit Card Accountability, Responsibility and Reform Act. (Download File

) We the undersigned consumer, civil rights and labor organizations offer our strong support for the Credit Card Accountability, Responsibility and Reform Act. The abusive credit card lending practices that would be reined in by this important legislation have always been unfair, but, as the U.S. economy tightens, financially vulnerable families need the protections of the Credit CARD Act more than ever.

2/12/2009
Consumer Advocate Jim Sturdevant's Testimony on Behalf of NACA Before the Senate Committee on Banking, Housing, and Urban Affairs (Download File

) Daily, consumers throughout America receive collection letters claiming that s/he owes thousands of dollars on a delinquent credit card debt. Time and again, I and my fellow consumer advocates hear from clients who tell stories that mimic the facts described by the Court in Discover Bank v. Owens. In that case, an Ohio court found that Ms. Owens, an elderly woman who depended on a monthly Social Security Disability (“SSD”) check, had more than repaid the principal balance plus interest that she had borrowed on a Discover credit card. The court rejected Discover’s attempt to collect an additional $5000 in late fees, penalty interest and credit protection costs, because those charges were, in the court’s view, unconscionable.

2/9/2009
Comments to the Board of Governors of the Federal Reserve System Regarding Proposed Regulations Under the Mortgage Disclosure Improvement Act (Download File

) NACA and other consumer groups submit comments to the Board of Governors of the Federal Reserve System regarding Docket No. R-1340.

2/6/2009
Consumer Groups Request Meeting With Treasury Regarding Use of Authority and Funds Under TARP for Homeowners Facing Foreclosure (Download File

) The undersigned civil rights, consumer, and community organizations request the opportunity to meet with you to discuss the Treasury Department’s plans for using its authority and funding under TARP to assist homeowners facing foreclosure or in imminent danger of default.

2/3/2009
Consumer Groups Join in Letter to Treasury Secretary Geithner Regarding The Term Asset Backed Securities Loan Facility (TALF) (PDF) (Download File

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1/13/2009
Letter Regarding TARP Emphasizing Importance that the Fund Recipients Engage in Streamlined Loan Modification Efforts (Download File

) The Troubled Asset Relief Program (TARP) must include a foreclosure prevention program that requires those who receive funding to engage in streamlined loan modification efforts. This TARP program must be implemented quickly, whether through an agreement with the Obama Administration on core principles or through legislation consistent with the concepts in Title II of Chairman Frank's H.R. 384.

12/18/2008
Consumer Groups Voice Support for the Employee Free Choice Act (Download File

) The undersigned organizations wish to express our support for the Employee Free Choice Act (EFCA), to be reintroduced in 111th Congress. This legislation is a perfect example of why workers need strong voices in Congress to represent their interest as consumers.

12/10/2008
Seven National Groups Join Together to Reverse the Slide on Pocketbook Issues (Download File

) NACA and other consumer groups announce a call for the appointment of a White House consumer “czar,” with goals for the new Congress, challenges for the new administration. Click here to read the full press release.

12/1/2008
Consumer and Civil Rights Groups Letter to the Incoming Obama Administration (Download File

) We, the undersigned leaders of the nation’s foremost consumer, community, civil rights and legal services organizations, write to you to state our urgent concerns regarding the need to guarantee consumer and marketplace protections as a fundamental principle guiding both your nominee selections and policy proposals for agencies that deal with housing and credit policy. Collectively, our organizations represent tens of millions of consumers throughout the United States.

11/21/2008
Comments and Recommendations by NACA, Public Citizen, and Other Consumer Groups Concerning the National Motor Vehicle Title Information System (Download File

) Given the comparatively large number of comments from governmental and industry groups, these comments are being submitted to ensure that the interests of automobile consumers are taken into account in the Department’s rules implementing the National Motor Vehicle Title Information System (NMVTIS).

11/14/2008
Testimony to the Domestic Policy Sub-Committee of the Oversight and Government Reform Committee, on Behalf of Low Income Clients (Download File

) This is testimony given by Alys Cohen on behalf of the low income clients of NACA and NCLC to the Domestic Policy Sub-Committee of the Oversight and Government Reform Committee. Click here to read the testimony (PDF)

10/31/2008
NACA and Consumer Groups Send Letter to HUD Regarding Critical Weaknesses of the Proposed RESPA Rule (Download File

) As a coalition of consumer and civil rights organizations, we commend HUD for its groundbreaking work on the summary GFE—a real and significant step forward for consumers. The RESPA Rule has not, to our knowledge, however, adequately addressed three critical issues that we hope HUD will address in its final rulemaking.

10/15/2008
Misplaced Blame (Download File ) New York Times October 15, 2008 Editorial Misplaced Blame In recent weeks, Republicans in Congress have been blaming a lot of things, besides themselves, for the subprime mortgage debacle. And many of these same Republicans have long wanted to abolish the Community Reinvestment Act, a landmark law that helped to rebuild some of the nation’s most desolate communities by requiring banks to lend, invest and open branches in low-income areas that had historically been written off. These two goals have converged in a new attempt to blame the law for the financial crisis. The act, passed in 1977, is one of the most successful community revitalization programs in the country’s history. According to a recent report by the National Community Reinvestment Coalition, an advocacy group in Washington, the act has encouraged lenders to invest more than $4.5 trillion in minority and low-income areas. This money helped to remake devastated neighborhoods like the South Bronx, helping to finance new housing and businesses. It has helped provide essential services in such neighborhoods, including medical centers and housing for the elderly and disabled — projects that the private sector too often refused to back. But you can hardly pick up a newspaper or turn on the television these days without hearing critics argue that the act created the current mess we’re in by forcing banks to lend to people in poor areas who were bad credit risks. Representative Steve King of Iowa has introduced legislation that would repeal the act. The charges do not hold up. First, how could a 30-plus-year-old law be responsible for a crisis that has occurred only in recent years? Then there’s the fact that the regulatory guidance issued under the reinvestment act and other banking laws actually impose restraints on the riskiest kinds of subprime lending. In addition, subprime lending was not driven by banks, which are covered by the act. Rather, most subprime lending was driven by independent mortgage lending companies, which the act does not cover, and, to a lesser extent, by bank affiliates and subsidiaries that are not fully covered by the act. By some estimates, nonbank lenders and bank affiliates and subsidiaries may have originated 75 percent or more of the riskiest subprime loans. A study released this week by the Center for Community Capital at the University of North Carolina in Chapel Hill shows that people of similar financial profiles were three to five times more likely to default when they received high-priced subprime mortgages than when they got bank loans made under the Community Reinvestment Act. Copyright 2008 The New York Times Company

10/14/2008
NACA Joins National Consumer Rights Groups in Statement Regarding Attacks on the Community Reinvestment Act (CRA) (Download File

) Recent conversations pointing to the Community Reinvestment Act as the cause of the foreclosure crisis and credit market crisis are an attempt to deflect attention away from the real problem affecting our financial system. That problem is failed regulatory policy and oversight. Download the document to read the entire statement.

9/24/2008
NACA Joins Coalition to Strongly Urge Senate Leaders to Protect Credit Card Consumers (Download File

) Letter to Leaders Regarding Legislation Passed by the House of Representatives to Rein in Abusive Credit Card Lending Practices by a Large Bipartisan Margin.

9/24/2008
Public Interest/Main Street Principles To Guide the Wall Street Rescue (Download File

) Consumer, community, civil rights, labor and civic organizations write to Senators Chris Dodd, Barney Frank, Richard Shelby, and Spencer Bachus, suggesting several principles that should guide their consideration of final Wall Street rescue legislation.

9/22/2008
NACA Urges Inclusion of Court-Supervised Mortgage Restructuring for American Homeowners to Allow Them to Save Their Homes (Download File

) The undersigned organizations strongly urge you to include court-supervised mortgage restructuring for American homeowners to allow them to save their homes in any legislation that would use our tax dollars to bail out the financial services industry from its self-imposed crisis. Purchasing subprime and Alt A private securities will not provide the government with any legal ability to modify loans and keep families in their homes, which is necessary to stop the crisis. We cannot support, and urge you to oppose, legislation that fails to help the millions of families in danger of losing their homes, while spending hundreds of billions of dollars of taxpayer money to bail out those who caused the problem.

9/17/2008
Credit Card Bill of Rights- HR 5244- Take Action! Call Your Congress-person Today (Download File

) The undersigned consumer, civil rights, small business, community and labor organizations representing tens of millions of Americans strongly urge you to vote for H.R. 5244, the Credit Cardholders' Bill of Rights Act, when it is brought to a floor vote next week. We also urge you to vote against any amendments to weaken the bill’s provisions. Now, we move on to a full House vote! The vote is expected as early as next week. So we need your help more than ever. Please CALL your representatives today to ask them to vote FOR the Credit Cardholders Bill of Rights (HR 5244) - without any amendments that would stall or weaken the bill. HR 5244 would: • Stop unjustifiable interest rate increases on existing balances. • End bait and switch contract clauses. • Apply the consumer's payment proportionally between high and low rate balances. • Stop "double cycle" billing, which requires consumers to pay interest on debts they've already paid off. • Give the consumer a chance to set a fixed credit limit and avoid over the limit fees. • Prohibit the granting of credit cards to consumers who are younger than 18 years-of-age. Make a difference. Take a moment out of your busy schedule - right now - to call your representative to support the Credit Cardholders Bill of Rights - without any amendments that may water it down.
Related Links: Click here to see how BMA is framed in the news

9/15/2008
Coalition Requests Meeting of Director Lockhart, Federal Housing Finance Agency, to Discuss the Future Role of GSEs in Conservatorship Housing Market (Download File

) James B. Lockhart III, Director, Federal Housing Finance Agency (FHFA) We write to request a meeting with you to discuss the future role of the Government Sponsored Enterprises (GSEs) in the housing market under conservatorship. The recent decision to place Freddie Mac and Fannie Mae in conservatorship raises several questions about the role these entities will continue to play in providing affordable homeownership to low- and moderateincome families and the role they can play in preventing foreclosures and allowing families to stay in their homes.

9/11/2008
Letter Urging Fannie Mae, Freddie Mac Directors and Director of Federal Housing to Reverse Policies (Download File

) We are writing to you today to urge you, in your capacities as the Conservator and CEO’s of Freddie Mac and Fannie Mae, to reverse certain policies of your predecessors and use your roles as the leading players in the mortgage market both to help victims of the housing crisis save their homes, improve the fiscal well-being of your firms and stabilize housing prices by reducing the excess supply of homes on the market.

9/9/2008
NACA Supports Immediate Action on H.R. 5244 (Download File

8/4/2008
NACA Urges Federal Reserve Board, Office of Thrift Supervision, and the National Credit Union Administration to Strengthen Their Proposed Rule on Overdraft Practices (Download File

) We, the undersigned civil rights, labor, consumer, housing and community groups, write to thank you for bringing attention to abusive overdraft practices while expressing our concern that the proposed Unfair or Deceptive Acts or Practices Rule1 will not adequately protect consumers. For a rule addressing fee-based overdraft to adequately protect consumers, it must at a minimum require institutions to obtain consumers’ affirmative “opt-in.”

7/29/2008
NACA Strongly Supports H.R. 5244, the Credit Cardholders' Bill of Rights Act and Urges the Committee to Support the Manager’s Amendment to the Bill (Download File

) The undersigned consumer, civil rights and labor organizations representing tens of millions of Americans strongly support H.R. 5244, the Credit Cardholders' Bill of Rights Act. We urge the Committee to support the manager’s amendment to the bill, which will be marked up on July 30th, and to oppose weakening amendments. H.R. 5244 rests on the basic rules of fair dealing that Americans expect everyone to play by. It curbs some of the most arbitrary, abusive, and unfair credit card lending practices that trap consumers in an unending cycle of costly debt. These tricks and traps have always been unfair, but they produce devastating financial repercussions in times of economic difficulty. Working families are particularly hard hit, paying more each year in unreasonable fees and credit card interest. Signs that credit card defaults are on the rise strongly suggest that many families cannot sustain the cumulative burdens of these abuses. The sub-prime meltdown demonstrates the importance of ending abusive lending practices when warning signs arise. Congress should take steps now to rein in these practices to forestall an even greater economic crisis.

7/22/2008
NACA Alerts Senate Regarding Business Week Article, Banks v. Consumers, Exposing How Pre-Dispute Mandatory Binding Arbitration Denies Public Access to Justice (Download File

) The undersigned groups would like to alert you to the recent Business Week article entitled Banks vs. Consumers which exposes how pre-dispute mandatory binding arbitration denies the public access to justice. We urge you to read the attached article and to support two bills currently being considered by the Senate Judiciary Committee: the Arbitration Fairness Act of 2007, S. 1782, and the Fairness in Nursing Home Arbitration Act, S. 2838.

7/18/2008
NACA Joins in Comments Regarding Notice of Proposed Rulemaking, Regulation Z Changes, Truth in Lending, Federal Reserve System, 12CFR Part 226, Docket # 1286 (Download File

) These comments are filed in response to the Board’s May 19, 2008 Notice of Proposed Rulemaking (May 2008 NPRM) on changes to Regulation Z’s credit card/openend credit provisions. The May 2008 NPRM contains a number of proposed changes to Regulation Z and the Official Staff Commentary that are in addition to, and in some cases revise, the Board’s proposal to revise Reg. Z in its June 14, 2007 Notice of Proposed Rulemaking (June 2007 NPRM). We appreciate the Board’s efforts to improve Regulation Z, and more importantly, to issue proposals prohibiting unfair and deceptive credit card practices using its authority under Section 18(f) of the Federal Trade Commission Act, 15 U.S.C. § 57a(f). As we will discuss in forthcoming comments, we strongly support many of the proposals in the Regulation AA NPRM.

6/24/2008
NACA and Coalition Voice Concerns About HR 6312, the Credit Union, Bank and Thrift, Regulatory Relief Act of 2008 (Download File

) Dear Chairman Frank, Ranking Member Bachus, Chairman Maloney, Ranking Member Biggert, Chairman Kanjorski, Ranking Member Pryce, and Representative Moore: We appreciate your efforts to increase underserved communities’ access to affordable loans. Additionally, we would like to commend your efforts to improve the credit union payday alternative provision of HR 6312, the Credit Union, Bank and Thrift, Regulatory Relief Act of 2008, from the version in the original legislation. The current bill ensures that loans to non-members will be subject to the same interest rate cap as loans to members. The current bill also removes the provision from Section 107(a)(12)(B) of the Federal Credit Union Act, which authorizes services “for a fee,” to avoid arguments that the “for a fee” phrase authorizes fees above the interest rate cap. These are significant improvements over the original provision in HR 5519. However, we are writing to express continuing concerns about the bill, which we understand is on the suspension calendar this week. The provision permits federal credit unions to make short-term loans to non-members who are within their field of membership and expands their field of membership to encompass areas underserved by banking. Despite the lateness of the hour, we strongly urge you to do everything you can to ensure that this legislation is as strong and protective as possible. We would like to continue to work with you as the legislation makes its way through the legislative process to ensure that our concerns are addressed so that the much needed expansion of banking services to areas that are currently underserved by financial institutions does not mean an expansion of abusive or exploitative practices.

6/20/2008
Comments by NACA and Coalition on Behalf of Low- Income Clients Regarding Use of Master and Sub Accounts and Other Account Arrangements for the Payment of Benefits Docket No. SSA 2008-0023 (Download File

) We very much appreciate the initiative that the Social Security Administration (“SSA”) has shown by requesting comments on the use of master-sub account agreements along with other financial arrangements which may be hurting recipients of social security and SSI benefits. The beneficiaries of these federal funds currently have tens of millions of dollars each year improperly deducted from their benefits by fringe financial service providers. As SSA implicitly recognizes in these Request for Comments, these arrangements are exorbitantly expensive, harmful to recipients – with no redeeming features – and entirely unnecessary as a way to deliver benefits to recipients. Federal benefit recipients are being charged steep fees for direct deposit arrangements and loans based on receipt of exempt federal funds. Check cashers and loan companies partner with a handful of banks and intermediaries to provide “direct deposit” of Social Security and SSI payments through accounts accessible only through the third party financial service provider, such as check cashers and small loan companies. These master/sub account arrangements are expensive and deny recipients control of their exempt funds. Also, recipients who have opened regular bank accounts to receive direct deposit are now susceptible to exorbitantly priced credit -- Payday loans – which capture huge portions of these federal funds designed to be used for the necessities of recipients.

6/19/2008
NACA Strongly Supports the "Housing and Recovery Act of 2008" including the HOPE for Homeowners Act. (Download File

) Letter to the Honorable Christopher Dodd and the Honorable Richard Shelby, supporting the "Housing and Recovery Act of 2008" including the HOPE for Homeowners Act.

6/17/2008
NACA Opposes HR6254 Inclusion Intended to Relax FHA’s Certification Rules to Permit More Mortgage Brokers Instant Access to the FHA Loan Program (Download File

) Letter to Chairman Frank, Chairman Dodd, Ranking Member Bachus, and Ranking Member Shelby: "We understand that a proposal, HR 6254 offered by Rep. Gary Miller, is under consideration to include in the housing stimulus bill as a measure intended to relax FHA’s certification rules to permit more mortgage brokers instant access to the FHA loan program. The undersigned organizations oppose this approach. Loosening oversight on brokers—the group that originated the majority of failed subprime mortgages—even on a temporary basis would impose additional unnecessary expense on FHA borrowers and create unnecessary exposure to American taxpayers. Even worse, this policy could result in the reemergence of predatory lending practices and actually magnify the risk of today’s foreclosure crisis."

5/30/2008
NACA Strongly Urges the U.S. Attorney General to Create a National Motor Vehicle Title Information System that would Provide Readily Accessible Car History Data to the Public (Download File

) Letter sent to the Attorney General urging him to create a National Vehicle Title Information System, so that car history date would become readily accessible to the public.

5/27/2008
NACA Supports the Nursing Home Fairness in Arbitration Act of 2008 (Download File

) Representative Sanchez introduced the Nursing Home Fairness in Arbitration Act of 2008 today. Attached is the letter of support for the Senate bill.

5/20/2008
NACA Urges Congress to Pass Legislation that Keeps Fannie Mae and Freddie Mac Actively Involved in Providing Affordable Housing (Download File

) Letter to the Honorable Christopher Dodd and the Honorable Richard Shelby urging them and Congress to pass legislation that would keep Fannie Mae and Freddie Mac actively involved in providing affordable housing.

4/25/2008
NACA Supports H.R. 3609, the “Emergency Home Ownership and Mortgage Equity Protection Act” (Download File

) We, the undersigned organizations, strongly urge you to support the bipartisan substitute version of H.R. 3609, the “Emergency Home Ownership and Mortgage Equity Protection Act.” This legislation will help hundreds of thousands of families stay in their homes while they repay their mortgage debt. It will also help avoid the decreased property values and increased crime in neighborhoods that come with concentrations of foreclosures.

4/24/2008
NACA Supports The Amendment to H.R. 5830, the “FHA Housing Stabilization and Homeownership Retention Act (Download File

) April 24, 2008 The Honorable Barney Frank Chairman House Financial Services Committee 2129 Rayburn House Office Building Washington, DC 20515 The Honorable Spencer Bachus Ranking Member House Financial Services Committee B371a Rayburn House Office Building Washington, DC 20515 Dear Chairman Frank and Ranking Member Bachus: We are writing to urge you to support Representative Mel Watt and Representative Nydia Velázquez’s amendment to H.R. 5830, the “FHA Housing Stabilization and Homeownership Retention Act,” that would provide funding to state and local legal organizations representing homeowners in danger of losing their homes. As you are all too well aware, thousands of homes across our country are being lost to foreclosure on a daily basis and this tide is only continuing to rise. Funding for state and local legal organizations is an essential and necessary component in directly providing much needed relief to at-risk homeowners. We applaud Congress’ resolve to provide much needed increased funding to housing counseling agencies, however that effort is simply not enough. Housing counselors, who play a vital role in helping at-risk homeowners, are unfortunately limited in their ability to pursue federal and state legal claims for abusive lending practices. Legal Aid and other non-profit lawyers, with their experience in representing homeowners and their legal knowledge of state and federal consumer protections, have the unique ability to change that equation and force recalcitrant servicers into creating loans that allow homeowners to remain in their homes and their communities. Unfortunately, the reality is that there are not enough non-profit attorneys doing this kind of direct service work and many are needed to quell the tide of foreclosures. The existing pool of such attorneys already report a flood of incoming homeowners seeking assistance for abusive loans. By providing funding to legal providers at the state and local levels, thousands of homes can and will be saved. We therefore urge you to support Representative Watt and Velázquez’s amendment to H.R. 5830. If you have any questions, please contact Cora Ganzglass, Legislative Director, National Association of Consumer Advocates, at (202) 452-1989 or cora@naca.net. Sincerely, ACORN Black Leadership Forum Center for Responsible Lending Consumer Federation of America Consumer Union National Association of Consumer Advocates National Coalition of La Raza National Consumer Law Center (on behalf of its low-income clients)

3/24/2008
NACA Supports the Passage of H.R. 5312 The Automobile Arbitration Fairness Act (Download File ) March 6, 2008 testimony presented by Hallen D. Rosner to the Honorable Linda Sanchez, Chairperson of the Committee on the Judiciary, Subcommittee on Commercial and Administrative Law, of the United States House of Representatives.

3/21/2008
NACA Opposes California's "Check Diversion" Debt Collector Bill (Download File

) The National Association of Consumer Advocates (NACA) strongly opposes A.B. 2606 – a bill that attempts to immunize the abuses by private debt collectors known as “check diversion” companies. These companies have come under increasing scrutiny by both consumer advocates and the federal courts, and have also recently been the subject of coverage in the Los Angeles Times, San Francisco Chronicle, and San Jose Mercury-News. Using statutory authority that was originally intended to permit the diversion of legitimate criminal cases from the judiciary, these high-volume collection agencies rent out the name and authority of local governments to collect on returned checks. They send demand letters on official government letterhead, falsely threatening consumers with criminal prosecution or jail unless they pay not only the check amount, but also excessive collection fees.

3/14/2008
NACA supports the Credit Card Reform act of 2008 (Download File

) The undersigned consumer, civil rights and labor organizations write to commend you for introducing the Credit Card Reform Act of 2008. As the U.S. economy balances precariously on the brink of recession, this important legislation will protect financially vulnerable families from many harmful practices that credit card companies use to unjustifiably increase fees and interest rates.

2/15/2008
Letter to the Honorable Harry Reid, U.S. Senate, concerning S2636 (Download File

) Letter to the Honorable Harry Reid, U.S. Senate, commending him for recognizing the urgency of the housing foreclosure crisis facing this country and for proposing a comprehensive legislative approach to help stem it.

2/13/2008
Comments of NACA, Consumers Union, and Other Organizations to the Federal Trade Commission et al Pursuant to Section 312 of the Fair and Accurate Credit Transaction Act (Download File

) We appreciate the efforts undertaken by the Regulators in drafting the proposal. We believe that significant changes must be made in the proposal in order for it to: (1) promote the furnishing of information that is accurate, timely, up to date, complete, andfully substantiated and (2) provide a workable method for consumers to dispute information directly with the entity that furnished that information. Credit reports and credit scores are increasingly important in the determination of who receives credit and other economic opportunities, such as insurance in some states, rental housing, and even jobs, as well as what prices consumers are offered for credit and services. The need for strong and effective Regulations and Guidelines is critical to the economic health of consumers and to the American economy. Indeed, Congress enacted the Fair Credit Reporting Act (“FCRA”) in the explicit recognition that the health of the consumer banking and credit system “depend[s] upon fair and accurate credit reporting” and that “[i]naccurate credit reports directly impair the efficiency of the banking system.” 15 U.S.C. §1681(a)(1), (a)(4), and (b). Congress realized that credit decisions made on the basis of faulty information undermine the vitality of the consumer credit system and the ability of Americans to enjoy the fruits of this country’s material prosperity. Failure within this system is not only expensive but also severely disruptive, while accurate, timely, up-to-date, complete and fully substantiated information keeps the system running well. The need for strong and effective Regulations and Guidelines is especially critical given current economic conditions. During any economic downturn, there is an increased focus on credit quality. This occurs at the very time that access to jobs, services, and the price of credit take on special importance for families. The credit tightening that is occurring in response to the reverses in the subprime mortgage market gives added importance to where an individual consumer falls on a continuum of credit scores. These factors make it extremely important that the contents of consumer credit reporting files be accurate, complete, up to date and robustly substantiated.

12/12/2007
S. 1782: Paul Bland Testifys Before the Subcommittee on the Constitution of the United States Senate Judiciary Committee (Download File

) Paul Bland testifys before the Subcommittee on the Constitution of the United States Senate Judiciary Committee about S.1782, the Arbitration Fairness Act of 2007.

4/16/2007
NACA joins in supporting the Credit Card Minimum Payment Warning Act (Download File

)

3/28/2007
NACA Member Tracy Revzani's Testimony in Support of Amending Washington, D.C.'s Law Regulating Binding Mandatory Arbitration (Download File

)

3/28/2007
Former NACA Co-Chairperson Paul Bland's Testimony in Support of Amending Washington, D.C.'s Law Regulating Binding Mandatory Arbitration (Download File

)

3/27/2007
Alan M. White's Statement on Behalf of Jennie Haliburton (Download File

) Written statement about Haliburton's experiences as a subprime mortgage borrower.

3/27/2007
Irv Ackelsburg's Statement on the Predatory Mortgage Lending Crisis (Download File

) Written statement before the U.S. Senate Committee on Banking, Housing, and Urban Affairs.

3/13/2007
NACA Joins in Senate Testimony Against the Predatory Practices of the Credit Card Industry (Download File

)

3/9/2007
Letter urging the Defense Department not to weaken the Military Lending Act (Download File

) The undersigned groups have submitted detailed comments in response to the Department of Defense’s request for input concerning the regulations to implement the John Warner National Defense Authorization Act for Fiscal Year 2007 (the “Military Lending Act,” or “MLA”).

2/5/2007
Letter to Senate Banking Committee (Download File

) asking for action against "Exploding ARMs" and other predatory mortgage loans.

1/31/2007
Joint comments of NACA, NCLC, and Consumers Union on the proposed changes to the Electric Fund Transfer Act (Download File

) relating to receipt requirements for small dollar transactions.

1/25/2007
Testimony to the United States Senate Banking Committee by Michael Donovan (Download File

) examining the billing, marketing, and disclosure practices of the credit card industry.

12/20/2006
The accompanying letter (Download File

) to the press Release by NACA and other Consumer Groups urging the mortgage industry to maximize opportunities for Gulf-area victims of Hurricane Katrina to maintain and rebuild their homes.

12/20/2006
Press Release by NACA and other Consumer Groups (Download File

) urging the mortgage industry to maximize opportunities for Gulf-area victims of Hurricane Katrina to maintain and rebuild their homes.

12/18/2006
Letter to The Honorable John C. Dugan, Comptroller of the U. S. Currency, (Download File

) requesting his office to take action to require national banks to cease making "pay stub" or "holiday" refund anticipated loans (RALs).

12/4/2006
Joint comments on the federal bank regulators' proposal on non-traditional mortgages. (Download File

)

9/20/2006
CROA Letter to the floor of the U. S. House of Representatives. (Download File

) NACA joins other consumer organizations in standing up against legislation that would damage consumers by greatly weakening the Credit Repair Organization Act.

9/20/2006
CROA Letter to the U. S. Senate Banking Committee (Download File

) NACA joins other consumer organizations in standing up against legislation that would damage consumers by greatly weakening the Credit Repair Organization Act.

6/23/2006
Letter to The Honorable Richard C. Shelby and The Honorable Paul S. Sarbanes of the Senate Committee on Bankinbg, Housing, and Urban Affairs, (Download File

) urging rejection of Anti-Comsumer Provisions in House Regulatory Relief Offer.

5/21/2006
Letter of Supprt for Credit Card Reform Act and Protection of Young Consumers Act. (Download File

) Letter of support for the Menendez credit card legislation.

3/27/2006
Comments on Rule (30)(b)(6) (Download File

) made by the National Association of Consumer Advocates.

3/1/2006
Testimony to the Massachusetts House of Representatives (Download File

) in opposition to HP 1785, the bill that seeks to amend the fee shifting provisions of Massachusetts UDAP, Chapter 93A. NACA, NCLC, and MASSPIRG.

2/23/2006
Joint Statement to the House and Senate Banking Committees (Download File

) calling upon the federal government to take the lead in providing substantial and immediate additional assistance to help homeowners affected by the Katrina disaster to rebuild. The statement is signed by a long list of associations and organizations including NACA, ACORN, AFL-CIO, Consumer Federation of America, NCLC, NAACP, and more.

11/8/2005
Letter to The Honorable Elizabeth Dole (Download File

) supporting her predatory lending study amendment to the Defense Authorization bill, S. 1042. Signed by NACA, along with the Center for Responsible Lending, Community Reinvestment Association of North Carolina, Consumer Federation of America, Consumers Union, Jacksonville Legal Aid (FL), and U.S. Public Interest Research Group.

11/2/2005
Letter to Robert E. Feldman, Executive Secretary of Federal Deposit Insurance Corporation (FCID) (Download File

) concerning payroll cards. Signed by NACA, Consumers Union, Consumer Federation of America, National Consumer Law Center, and U.S. PIRG.

10/26/2005
Letter to Financial Services Committee Members regarding H.R. 3505, the Financial Services Regulatory Relief Act of 2005, (Download File

) warning that the proposals pose a significant threat to low and moderate-income consumers. The letter is signed by NACA, NCLC, Consumer Federation of America, Center for Responsible Lending, Consumers Union, U.S. PIRG, and National Community Reinvestment Coalition.

9/9/2005
Letter to the U. S. Senate Supporting Senator Robert Dole's Amendment to S 1042, (Download File

) capping interest rates for loans at 36% APR for service members and their families.

3/23/2005
NACA Letter to Steve Price, President and CEO, and Jay Welch, Vice President and General Counsel, of JAMS, (Download File

) registering NACA's profound disappointment and opposition to JAM's recent reversal of their poilcy opposing binding mandatory arbitration (BMA).

2/15/2005
The National Association of Consumer Advocates files comments to the proposals to amend FRCP (Federal Rules of Civil Procedure) relating to electronic discovery. (Download File

)

2/2/2005
Senator Grassley (R- Iowa) Files New Class Action Bill, S 5. (Download File

) NACA opposes S-5, the "Business Class Action Bill."

12/16/2004
Letter to the Rules Docket Clerk, Department of Housing and Urban Development (HUD) (Download File

) regarding HUD's regulation of Fannie Mae and Freddie Mac, and GSE Housing Goals, Advanced Notice of Proposed Rulemaking (ANPR)

12/3/2004
Letter to William K. Slate II, President of the American Arbitration Association (Download File

) regarding class actions in arbitration. Written by Ira Rheingold, Executive Director of NACA

11/17/2004
Coalition Letter Opposing Inclusion of the Class Action Fairness Act (Download File

) (S. 2062) in any appropriations bill passed during the remainder of the 108th Congress

10/7/2004
"Mortgage Fraud and its Impact on Mortgage Lenders," (Download File

) Testimony before the House Subcommittee on Housing and Community Opportunity of the Committee on Financial Services, Submitted by Brigitte Amiri

10/5/2004
This is a Call for Help in Preventing Predatory Lending, Unfair Practices and Discrimination by Co-Sponsoring Representative Barney Frank's Bill to Curb OCC's Encroachment on States' Ability to Protect Consumers. (Download File

)

9/28/2004
Letter to Commissioner William C. Hillman, National Conference of Commissioners on Uniform State Laws, (Download File

) regarding the Debt Settlement and Consumer Debt Counseling Act

9/22/2004
Vote No on Proposition 64 (Download File

)

8/9/2004
Joint Comments Filed with the Federal Reserve Concerning Bounce Protection Programs. (Download File

)

7/16/2004
Joint Comment Submitted to HUD regarding HUD's Proposed Housing Goals for Fannie Mae and Freddie Mac for the years 2005-2008, (Download File

) Docket No. FR-4790-P-01.

7/15/2004
Letter to the Honorable Ronald M. George, Chief Justice of the Supreme Court of the State of California, (Download File

) expressing opposition to the request for depublication of the case, Lopez v. Charles Schwab & Co., Inc., 118 Cal. App. 4th 1224 (2004).

6/23/2004
Consumers Union Letter to Federal Reserve Chairman, Alan Greenspan, (Download File ) seeking consumer protections for unauthorized use of payroll cards and other stored value cards, and seeking FDIC insurance of these funds.

6/23/2004
Consumers Union Letter to Robert E. Feldman, Executive Secretary of the Federal Deposit Insurance Corporation (FDIC), (Download File

) seeking consumer protections for unauthorized use of payroll cards and other stored value cards, and seeking FDIC insurance of these funds.

6/23/2004
Testimony to the Senate Committee on Banking, Housing and Urban Affairs, (Download File

) regarding all current proposals for legislation on financial services reform.

5/3/2004
Support HR4236 and HR4237, and to Support Efforts to Overturn OCC Rules, (Download File

) call to protect consumers and protect state authority over unfair banking practices.

4/27/2004
Comments concerning the Economic Growth and Paperwork Reduction Act (EGRPRA), (Download File

) filed by the National Consumer Law Center in support of its low income clients, and on behalf of NACA and a number of other consumer and community organizations.

4/1/2004
Letter to the Honorable Richard Shelby, Chairman of the Committee on Banking, Housing and Urban Affairs of the United States Senate, (Download File

) regarding the advancing legislation to revise regulator oversight of the government sponsored housing enterprises., urging Shelby to support important improvements to protect and strengthen the affordable housing mission.

1/5/2004
Comments by NACA, Consumer Action, NCLC, Privacy Times, and U.S PIRG to the Federal Trade Commission (Download File

) regarding the definition of a Fair and Reasonable Fee for Credit Scoring Disclosure, FACTA Credit Score Fee, Project R411004. Submitted via www.regulations.gov by Brad Scriber

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