Entries in Elizabeth Warren (3)


Elizabeth Warren Takes Intellectual Credit for Occupy Wall Street

Joshua Roberts/Bloomberg via Getty Images(NEW YORK) -- Many politicians have been wary to identify with the Occupy Wall Street protesters, but Massachusetts Democratic U.S. Senate candidate Elizabeth Warren takes credit for planting the intellectual seeds that spawned the movement.

“I created much of the intellectual foundation for what they do,” said Warren in an interview with The Daily Beast. “I support what they do.”

The Occupy Wall Street movement started Sept. 17 -- at least according to -- and despite massive turnout, the movement didn’t receive much media attention until weeks later.  Protests have since spread from multiple cities across the U.S. to cities as far away as Tokyo.

While Warren might claim credit for sowing the initial seeds, the Occupy Wall Street website says the movement drew inspiration from the Arab Spring movement in Egypt and Tunisia.

“Elizabeth was making the point that she has been protesting Wall Street’s practices and policies for years -- and working to change them,” said a spokesman for the Warren campaign in a statement intended to clarify. “Wall Street’s tricks brought our economy to the edge of collapse, and there hasn’t been any real accountability. She understands why people are so angry and why they are taking their fight to the street. She has said repeatedly everyone has to abide by the law. Elizabeth is working for change in a different way, to take this fight to the United States Senate.”

Copyright 2011 ABC News Radio


Obama Sidesteps Elizabeth Warren, Picks Cordray to Lead CFPB

Atty General's Office, State of Ohio(WASHINGTON) -- After a year of planning and defending the new Consumer Financial Protection Bureau (CFPB), Elizabeth Warren has been tossed out of the running to lead it. President Obama officially announced Monday that Ohio Attorney General Richard Cordray will instead be his pick to run the agency, which begins operations this Thursday.

In a Sunday news release, Obama thanked Warren for her "extraordinary work" in standing up the agency that he said was her idea.

Now that she no longer has a shot to lead the CFPB, Warren may heed the cries for her to run for the U.S. Senate. Liberals have been pushing for Warren for months to run against Massachusetts Sen. Scott Brown in a bid for the seat Ted Kennedy once held.

Warren, who served as interim director of the CFPB for the past year, has taken considerable heat for the bureau, which is designed to prevent another financial crisis by policing the predatory lending practices that led to the housing bubble and widespread foreclosures.

She weathered two fierce Senate Oversight Committee hearings where she and committee members sparred about everything from the bureau’s authority to ban financial products to when she could leave the hearing.

But it was unlikely that Warren could have drawn enough support to get beyond a filibuster for her nomination in the U.S. Senate.

“Professor Warren has done an outstanding job at standing up this agency and has been a tremendous asset to us all during the bureau’s first year,” Treasury Secretary Timothy Geithner said in a statement.

In 2010, just after passage of the Dodd-Frank financial regulation act, which officially created the CFPB, Obama named Warren as a special assistant to both the president and the Treasury Department. This type of appointment allowed Warren to bypass a Senate confirmation.

Soon after her appointment as interim director, Sen. Bob Corker, R-Tenn., a member of the Senate Banking Committee, spoke out against the president’s choice.

“The individual who heads this bureau will be able to make rules, with ultimately no checks and balances, that could have broad reaching implications for the U.S. economy as it relates to accessing credit, social justice and the safety and soundness of the U.S. banking system,” Corker wrote in a letter to the president. “The job is disproportionately reliant on the decisions of one individual with access to large sums of taxpayer monies to carry out the agency agenda."

In May, 44 of the 47 GOP senators expressed similar concerns. The group sent a letter to the president saying the Senate would not confirm any nominee unless the director position was replaced by a board, in order to diffuse power to more Senate-confirmed positions.  

The 44 senators could now effectively prevent Cordray’s appointment, which they have vowed to do, because Democrats would not be able to overcome a filibuster.

"I remain hopeful that those who want to cripple this consumer bureau will think again and remember that the financial crisis -- and the recession and job losses that it sparked -- began one lousy mortgage at a time,” Warren said Sunday in a statement after the president’s announcement to appoint Cordray.

Warren said Cordray, whom she chose as the CFPB’s chief of enforcement in 2009, “will make a stellar director."

Cordray, 52,  “has spent his career advocating for middle class families” and “looking out for ordinary people in our financial system,” Obama said in his Sunday statement.

Cordray earned his master’s degree from Oxford University and his law degree from University of Chicago Law School, where he was the editor of the law review. He has argued seven cases before the U.S. Supreme Court.

Copyright 2011 ABC News Radio


Credit Card Industry Praised on Anniversary of Credit CARD Act

Photo Courtesy - Getty Images(WASHINGTON) -- Elizabeth Warren, assistant to the president and special advisor to the secretary of the treasury on the Consumer Financial Protection Bureau, kicked off a conference Tuesday for the anniversary of the Credit Card Accountability, Responsibility and Disclosure Act, by praising the credit card industry for going beyond the requirements of the law to ensure clarity and transparency for consumers.

“A year later, the CARD act has brought about major changes in the way the industry operates,” Warren said in the keynote address.   “Much of the industry has gone further than the law requires in curbing repricing and over limit fees.   A number of issuers have eliminated some of the practices that can confuse customers and cost them money they reasonably did not expect to pay.   Lenders in the industry deserve credit for moving in the right direction.”

Implemented last year, the Credit CARD Act aims to protect consumers from predatory lending practices, penalties and interest rate hikes instituted by credit card companies.   Under the act, credit card companies must give borrowers a 45-day notice before raising interest rates or making other significant changes, must adhere to limiting fees on credit card holders’ accounts, and make it more difficult for students to obtain credit cards, requiring a co-signor for people under the age of 21.

“When the act was signed into law in May 2009, it was clear that the credit card market was in need of serious reform,” Warren said.   “The CARD Act was designed to reduce surprises in the repricing of accounts and to take a major step in improving the overall transparency of credit card costs.   As a result of the CARD Act, consumers now have better information about how much they're paying for credit and how much they might save on interest if they pay down their balances more quickly.” 

Warren also lauded the work of the CFPB but assured that more work needs to be done to ensure clarity for consumers to understand the costs and benefits associated with various credit cards.

“In the credit card market, we have more work to do and the task is formidable,” she said.   “It is still difficult for many consumers to understand the costs and risks of each individual credit card or to compare cards directly.   Our next challenges will be about further clarifying price and risks and making it easier for consumers to make direct product comparisons.”

Copyright 2011 ABC News Radio

ABC News Radio