Category Archives: Banking & Lending Issues

New Report Details How Americans Who Have Debt Held by Collection Agencies Can Get Thrown in Jail

New ACLU publication looks at how “debt collection industry uses prosecutors and judges as weapons against millions of Americans who can’t afford to pay their bills.”

By Andrea Germanos, staff writer for CommonDreams. Published 2-21-2018

“Consumers have little chance of justice when our courts take the debt collector’s side in almost every case—even to the point of ordering people jailed until they pay up,” says report author Jennifer Turner. (Photo: Bill Smith/flickr/cc)

Threatened with arrest for a case involving a few dollars in debt held by a collection agency?

This is not a science fiction, nor a scenario from the United States more than 185 years ago when debtors prisons were still allowed. Rather, it’s a part of the current justice system where, in states across the country, state courts and local prosecutors abet debt collectors in arresting and jailing some of the tens of millions of Americans who have debt held by private collection agencies.

The injustice is laid out in new report from the ACLU, “A Pound of Flesh: The Criminalization of Private Debt.” Continue reading

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Instability Mounts in Puerto Rico Amid Privatization Efforts and Power Authority’s Cash Shortfall

“If this is not disaster economics and this is not setting the stage for commercialization of services that are there to promote equality, I don’t know what is.”

By Julia Conley, staff writer for CommonDreams. Published 2-19-2018

Many rural areas in Puerto Rico remain without power, and San Juan Mayor Carmen Yulin Cruz said Monday that privatization has directly resulted in delays to restoration. (Photo: Western Area Power/Flickr/cc)

As nearly 250,000 Puerto Ricans remain without power five months after Hurricane Maria struck the island territory—the longest blackout in U.S. history—the Puerto Rico Electric Power Authority (PREPA) said Sunday it will reduce its operating reserve to save money, as the island’s government moves toward privatizing the authority.

A federal judge denied PREPA a $1 billion loan over the weekend, saying the authority could not prove it needed the additional cash injection. The company will now reduce its reserve by 450 megawatts, saving $9 million per month but likely resulting in more power outages. Continue reading

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Consumers are biggest losers of Trump’s ongoing war on regulations

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Some worry Mick Mulvaney is putting banks before consumers as head of the CFPB. Reuters/Yuri Gripas

Jeff Sovern, St. John’s University

President Donald Trump has been waging a war on regulation since he got into office on the ground that government red tape costs the economy billions of dollars a year.

Among the victors in this battle have been energy companies, banks and the president himself, who recently promised he’s “just getting started.” Perhaps the biggest losers, however, have been consumers.

The best illustration of this is the neutering of the Consumer Financial Protection Bureau, which began immediately after Mick Mulvaney stepped in as interim director in November. Continue reading

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Reproductive Rights Groups Slam WH Report on Trump’s ‘Unconscionable’ Global Gag Rule

State Department assures that “disruption of services” has been minimal, but women’s rights groups decry loss of the massive and destructive healthcare services in impoverished countries around the world

By Julia Conley, staff writer for CommonDreams. Published 2-8-2018

Health clinics in developing countries were put at risk for losing funding last year when President Donald Trump announced he would reinstate the global gag rule, taking U.S. aid from NGOs and their local partners unless they agreed to stop providing abortion care and counseling. (Photo: World Bank/Flickr/cc)

Women’s rights groups on Thursday denounced a report issued by the State Department on the impact of the Trump administration’s reinstatement of the global gag rule, also known as the Mexico City policy—saying the misleading document ignores the clear negative impacts the policy is having on poor communities and women around the world that have lost access to vital health services.


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‘Kicking Off Black History Month,’ Trump Guts CFPB’s Ability to Curb Racial Discrimination by Banks

“These changes threaten effective enforcement of civil rights laws and increase the likelihood that people will continue to face discriminatory access and pricing as they navigate their economic lives.”

By Jake Johnson, staff writer for CommonDreams. Published 2-1-2018

Mick Mulvaney press conference about President Donald Trump’s budget plan. Screenshot: YouTube

In a move immediately condemned as yet another “shameful” effort by the Trump administration to roll back civil rights and reward big banks, the White House reportedly “stripped” a key Consumer Financial Protection Bureau (CFPB) office of the power to take action against financial firms accused of breaking laws against racist lending practices.

Instead of enforcing anti-discrimination laws and penalizing criminal banks, the CFPB’s Office of Fair Lending and Equal Opportunity will now be focused on “advocacy, coordination, and education,” according to an email sent to bureau employees by White House budget chief Mick Mulvaney, who was installed as the CFPB’s acting director by President Donald Trump over objections of consumer advocates.  Continue reading

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US Surpasses Cayman Islands to Become Second Largest Tax Haven on Earth

“This is not a ranking in which the U.S. wants to be number one or even number two. We have one of the strongest economies and one of the most secret. It’s a perfect recipe for attracting the proceeds of crime, corruption, and tax evasion.”

By Julia Conley, staff writer for CommonDreams. Published 1-30-2018

The U.S. holds 22 percent of global offshore services, up from 14 percent in 2015. (Image: Offshore Shell Games)

Proving its role in the global race to the bottom on tax avoidance and  contributing to a multitude of abuses around the world, the United States is now second-largest tax haven on the planet, according to an updated international index.

The Tax Justice Network found that the U.S. has surpassed the Cayman Islands as the number-two place where corporations can easily stash their money to avoid tax liabilities. Switzerland retained its top place on the list. Continue reading

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Poll Shows Most Americans Blame Trump and GOP for Shutdown Mess

In past years, the president has argued that the responsibility to keep the government running lies with the White House

By Julia Conley, staff writer for CommonDreams. Published 1-19-2018

Lawmakers were struggling Friday to reach an agreement to keep the government funded ahead of a midnight deadline. (Photo: Mish Sukharev/Flickr/cc)

As President Donald Trump and members of Congress point fingers, blaming opposing political parties for a potential government shutdown, the public has spoken. A Washington Post/ABC poll finds that a most Americans would blame Republicans and the president should Congress fail to reach an agreement to keep the government funded by midnight on Friday.

Forty-eight percent of those polled in the survey of more than 1,000 people said they would hold the GOP responsible, while 28 percent said they would blame Democrats. Eighteen percent said both parties would be equally to blame. Continue reading

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Kushner Under Fire for Receiving $30M From Israeli Firm While Shaping Middle East Policy

“Are you comfortable with having Jared Kushner be the beneficiary of huge amounts of Israeli financing at the same time he’s overseeing U.S. foreign policy on Israel?”

By Jake Johnson, staff writer for CommonDreams. published 1-8-2018

Screenshot: CNN

President Donald Trump’s son-in-law and senior adviser Jared Kushner is once more under intense scrutiny after new reporting revealed that his lucrative financial relationship with Israel has deepened even as his influence over U.S. Middle East policy—from his leading role in Trump’s effort to “derail” a U.N. vote against Israel to his sway over the president’s Jerusalem move—has continued to grow.

According to a report published Sunday by the New York Times, Kushner’s real estate firm received a $30 million investment from Menora Mivtachim—one of Israel’s largest financial institutions—just before he accompanied Trump on his first diplomatic trip to Israel last year. Continue reading

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Showdown Looms as Trump, Flouting Dodd-Frank, Says CFPB Hater Mulvaney to Head Agency

Agreeing with outgoing director Cordray, Sen. Elizabeth Warren pushes back against White House, saying Trump “can’t override” Dodd-Frank

By Andrea Germanos, staff writer for CommonDreams. Published 11-25-2017

Trump said Friday that OMB director Mick Mulvaney, seen here in 2013, would serve as acting director of the CFPB. Critics, however, say that’s not lawful, as it should be the individual named by outgoing director Richard Cordray—Leandra English. (Photo: Gage Skidmore/Flickr/cc)

A battle appears to be brewing between the White House and the Consumer Finance Protection Bureau (CFPB), with each having named a different individual to serve as acting director of the agency, and President Donald Trump’s appointment denounced as “legally dubious.”

The showdown gained steam on Friday afternoon when Richard Cordray, who had been leading the CFPB since its inception, tendered his expected resignation, saying he was leaving at the end of the day. Another key event that day was the CFPB naming Leandra English as deputy director of the agency. She had been serving as the agency’s chief of staff. Continue reading

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Russia, China, and Iran Join Forces to Bring Down the US Dollar

By Darius Shahtahmasebi. Published 11-6-2017 by The Anti-Media

Photo: Public domain

It is becoming increasingly more common for the corporate media to pay attention to the dollar’s dying status as the world reserve currency. The media can no longer realistically ignore developments that ultimately chip away at the dollar piece by piece considering Russia, China, and Iran have become brazen about their intentions to erode the dominant currency in the not-too-distant future.

While Anti-Media has documented the decline of the dollar throughout the course of the year as a result of a number of significant geopolitical decisions, there is still one major elephant in the room that needs to be addressed. Once it is, it should shed some light on just how detrimental these recent developments are to America’s status as the global authority. Continue reading

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