One month after the U.S. House of Representatives Financial Services Committee passed the Financial CHOICE Act, H.R. 10, with a 34 to 26 vote down party lines, the full House passed the bill on June 8, 2017 with a 233-186 vote. Once again, the partisan nature of the vote was clear, with all Democrats opposed to the bill, joined by only one Republican–Representative Walter Jones (R-NC). As LenderLaw Watch previously reported here and here, the bill is poised to overhaul the Dodd-Frank Act by making significant changes to financial services regulation, including to the Consumer Financial Protection Bureau (CFPB).
While the House passed the bill in largely the same form as passed through the Committee, some changes were made. One significant change is that the House-approved bill does not repeal the Durbin amendment, which restricts interchange bank fees.
The Financial CHOICE Act faces an uphill battle in the U.S. Senate, where at least 60 votes are needed for it to pass. This means bipartisan support is necessary on some level (absent any changes to the Senate’s filibuster rule). Even if all 52 Republicans vote for the bill’s passage, 8 Democrats still must vote in favor of it. This is unlikely in light of Democrats’ stated disfavor for the bill. Another possibility is that the Senate creates its own bill out of remnants of the Financial CHOICE Act. LenderLaw Watch will report on further developments of this piece of legislation as they arise.
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