CFPB Hearing to Address Forced Arbitration, Banks’ License to Steal

Forced arbitration clauses are widespread and affect over 80 million credit cardholders in the United States, according to a study by the Consumer Financial Protection Bureau.

The study also found, on average under 300 forced arbitration disputes are filed by credit card, checking account and loan consumers each year.

Forced arbitration puts Americans’ financial security at risk. By removing access to justice, it allows Wall Street banks to evade accountability and grants them a license to steal and violate the law.

As the CFPB study indicates, the ultimate result of forced arbitration is a get-out-of-jail-free card for Wall Street. This demonstrates that forced arbitration is nothing more than a way to eliminate Americans’ access to justice.

Over 17,000 consumers have signed a petition calling on the CFPB to revoke Wall Street banks’ license to steal by stopping the used of forced arbitration clauses in financial products. We applaud the CFPB for taking the first steps to protect Americans’ financial security.

If banks are not accountable, all Americans’ financial security is at risk. Accountability must be restored.