Congress could strip consumers of right to sue banks and credit card companies

According to Sen. Elizabeth Warren (D-MA), senators could vote as soon as Tuesday on a proposal to strip consumers of their right to sue many banks and other financial companies. If the vote prevails, consumers are likely to lose their right to sue credit card companies and many other financial firms in a real court and be forced to bring suits in a privatized arbitration system that tends to favor corporate parties.

Additionally, the vote would permit many lenders to strip consumers of their right to bring a class action lawsuit against the lender.

The House already approved a similar measure, largely along party lines.

The vote concerns a Consumer Financial Protection Bureau (CFPB) rule that prohibits credit card companies, auto lenders, credit reporting companies such as Equifax, and certain other financial firms from “using an agreement with a consumer that provides for arbitration of any future dispute between the parties to bar the consumer from filing or participating in a class action concerning the covered consumer financial product or service.”

https://thinkprogress.org/sue-bank-congress-take-right-036a3fa93514/