Several actions such as loan modification and other homeowner assistant action implemented to strength the housing market. The initiatives have set new policies and standards to compact …show more content…
Wall Street Reform: Improved Accountability and Transparency Wall Street Reform puts large financial firms and markets that once operated outside of federal oversight under greater scrutiny, establishes new ways to identify potential threats to the financial system, and creates new tools to wind down large financial firms so that taxpayers do not bear the burden of the firms’ mistakes. Office of Financial Research (OFR) • Supports the work of the FSOC, and its director serves as one of its members. • Identifies and monitors emerging risks in the financial system. • Fills gaps in financial data and addresses deficiencies in our understanding of the financial system that were revealed by the financial crisis. Before the passage of Wall Street Reform, there was federal oversight primarily of traditional banks. Other types of nonbank financial institutions, even if very large, received little or no consolidated federal supervision. Wall Street Reform created the means to make sure that other large financial firms do not threaten the safety of our entire financial system, as they did in …show more content…
Large financial firms must now have plans in place for how they could be resolved in an orderly manner in the event of their failure. In addition, regulators now have new tools to better monitor the system and to wind down firms whose failure could threaten the larger economy. Consumers are empowered to make more informed financial choices because of Wall Street Reform. The new Consumer Financial Protection Bureau (CFPB): 1) helps make consumer financial products clearer and more understandable, 2) makes it easier for homebuyers to choose a mortgage that is right for them, and 3) will now supervise consumer financial products and services that once operated outside of federal