Tuesday
Apr272010
Auto Dealers Unfairly Targeted In Wall Street Reform Bill, Says Sen. Brownback
Tuesday, April 27, 2010 at 4:28PM
By Antonia Aguilar - University of New Mexico / Talk Radio News Service
Auto dealers should not be punished for Wall Street's shoddy lending, Sen. Sam Brownback (R-KS) argued Tuesday during a press briefing on an amendment to the Financial Regulatory bill aimed at excluding dealers from further government regulations and fees.
“Auto dealers did not cause this financial crisis. They are not banks; they did not issue sub prime loans,” said Brownback. “It seems ridiculous that we should even be talking about regulating them like banks.”
According to the Chairman of the National Auto Dealers Association, Ed Tonkin, the proposed legislation will subject auto dealers to new banking regulations because they provide dealer-assisted financing, a courtesy that helps customers find reputable lenders. Tonkin said adding regulations to the financial operations of auto dealers will increase fees and make it harder for customers to get a car loan.
“Consumers currently benefit because dealers have relationships with banks and finance companies and credit unions,” said Tokin, who appeared with Brownback. “Because of these connections, we're able to go to market and offer loans and leases to people form all walks of life.”
Auto dealers should not be punished for Wall Street's shoddy lending, Sen. Sam Brownback (R-KS) argued Tuesday during a press briefing on an amendment to the Financial Regulatory bill aimed at excluding dealers from further government regulations and fees.
“Auto dealers did not cause this financial crisis. They are not banks; they did not issue sub prime loans,” said Brownback. “It seems ridiculous that we should even be talking about regulating them like banks.”
According to the Chairman of the National Auto Dealers Association, Ed Tonkin, the proposed legislation will subject auto dealers to new banking regulations because they provide dealer-assisted financing, a courtesy that helps customers find reputable lenders. Tonkin said adding regulations to the financial operations of auto dealers will increase fees and make it harder for customers to get a car loan.
“Consumers currently benefit because dealers have relationships with banks and finance companies and credit unions,” said Tokin, who appeared with Brownback. “Because of these connections, we're able to go to market and offer loans and leases to people form all walks of life.”
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