GOP Senator Working with Sen. Dodd on Financial Reform

A lone Republican on the Senate Banking Committee has stepped forward to work with committee chairman Christopher Dodd, D-Conn., on crafting a financial regulatory reform bill, but the two have decided to postpone talks on consumer protection, an issue closely being watched by mortgage bankers. Sen. Bob Corker, R-Tenn., said creation of a Consumer Financial Protection Agency is "probably the hot button issue." As a result, the two senators have agreed to set that topic aside for now. The Tennessee senator moved fairly quickly after discussions between chairman Dodd and the ranking Republican senator on the committee, Richard Shelby of Alabama, broke down. "I hope to make it clear that I am stepping forward purely as one Republican senator who believes this is a piece of legislation that needs to be passed and is willing to see if it is possible in a bipartisan way," Sen. Corker said. However, Sen. Corker has serious concerns about the creation of a CPFA, which brought Senators Dodd and Shelby to an impasse. This new independent agency would set uniform standards for mortgage lenders and credit card issuers with an eye toward preventing abusive and deceptive practices. Washington observers say that unless language creating a CFPA is in a final bill the White House will oppose it.