Us Congress House Bill HJR122

Us Congress 2023-2024 Regular Session

• Introduced: 3/29/24
• Refer: 3/29/24
• Report Pass: 4/17/24

Caption

Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Bureau of Consumer Financial Protection relating to "Credit Card Penalty Fees (Regulation Z)".

Impact

If enacted, HJR122 would prevent the implementation of the Bureau's rule on credit card penalty fees, potentially leading to a significant shift in how these fees are regulated. This disapproval may impact consumers directly by restoring previous regulations or allowing financial institutions greater leeway in how they handle penalty fees. The bill underscores Congress's authority to review and disapprove regulations made by executive agencies, emphasizing the ongoing tensions present in the regulatory landscape.

Summary

HJR122 is a joint resolution aimed at providing congressional disapproval of a specific rule submitted by the Bureau of Consumer Financial Protection, which pertains to credit card penalty fees as outlined in Regulation Z. This resolution is part of the legislative effort to counteract regulations that Congress believes could negatively impact consumers or the financial industry. The resolution calls for the rule, which was published in the Federal Register on March 15, 2024, to have no force or effect, essentially nullifying it.

Sentiment

The sentiment surrounding HJR122 appears to be supportive among Republican legislators and those in favor of less regulation on financial institutions. They argue that the Bureau's regulations could overreach and burden businesses that offer credit services. Conversely, some consumer advocates and Democratic legislators may view the disapproval as detrimental to consumer protections, revealing a divide in perspectives regarding the balance between regulation and market freedom.

Contention

Notable points of contention regarding HJR122 involve the debate over consumer protection versus financial industry deregulation. Proponents of the bill argue that it will help prevent onerous regulations that could limit credit availability or increase costs for consumers. On the other hand, critics argue that disapproving the Bureau's rule could allow financial institutions to impose higher penalty fees without sufficient oversight, which could ultimately harm consumers who may struggle to manage their credit obligations.