Congressman Paul Tonko today voted in favor of common sense rules that will protect consumers, hold big banks and Wall Street accountable and prevent the scenario that led to the recession and cost Americans 8 million jobs and $17 trillion in retirement savings and net worth. The Dodd-Frank Wall Street Reform Act will put into place tough new rules on the riskiest financial practices that nearly led to the collapse of our financial system.

“This bill will end an era without accountability for Wall Street – which led us to the worst financial collapse since the Great Depression and threatened the economic security of millions of working families,” said Congressman Tonko. “These common sense reforms will ensure that Wall Street and big banks can’t gamble with our futures, and will inject transparency and accountability into a world that has operated in the dark for far too long.”

This legislation will create a new Consumer Financial Protection Bureau which will protect families by making sure credit cards, bank loans and mortgages are fair, affordable, understandable and transparent. The agency will also set standards to prevent practices such as hidden credit card fees, deceptive fine print, and other financial abuses that have escaped oversight.

The bill will also create a process to shut down large, failing, financial companies whose collapse would put the entire economy at risk. After the company’s assets have been exhausted, additional costs would be covered by a dissolution fund, while will be funded by all large financial firms.

The legislation would also give more enforcement power to the Securities and Exchange Commission over risky financial instruments, and will increase oversight and transparency for credit rating agencies.

“We need to protect Main Street from Wall Street,” added Congressman Tonko. “We need to make sure that America’s working families and small businesses are never again on the hook for Wall Street’s recklessness, which cost jobs and drained our savings.”

 This bill has been endorsed by the AARP, Consumer Federation of America, Consumers Union, the Council of Institutional Investors and the National Restaurant Association, among others.

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