Days May Be Numbered for the Consumer Complaint Database – ConsumerReports.org

Consumers are not the only beneficiaries of the database. Steven Ramirez, CEO of Beyond the Arc, a consumer-experience consulting firm based in Berkeley, Ca., says his company has mined it for insights to present to financial-industry clients.

"It can be useful to financial services companies because it is the one source of data that is comparative across institutions," he says. Ramirez points out that businesses can see complaints filed against other companies as well, and that by reviewing the complaints a business can better understand its strengths and weaknesses.

While Hensarlings office did not return a call requesting comment for this article, the Congressman has previously maintained that his bill will benefit consumers.

The Financial CHOICE Act will help grow the economy for all Americans, not just those at the top," Hensarling's office wrote in a press release about the original bill last September. "It promotes strong and transparent markets to revitalize job creation in our poorest communities and ensures every American has the opportunity to achieve financial independence, no matter where they start out in life.

Consumer advocates, though, do not share that opinion.

"All of the strides and changes, the safeguards, the protections that were put into place to avoid another financial crisis will disappear," says Pamela Banks, staff attorney for Consumers Union, the policy and mobilization arm of Consumer Reports. "It's like back to the wild, wild west."

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Days May Be Numbered for the Consumer Complaint Database - ConsumerReports.org