Congress appears in sticky issues of financial institutions

from identity theft and predatory lending to the current unrest in the mutual fund industry, Congress has crashed in a variety of sticky issues in this year involving the nation’s financial institutions.But although the legislators are considering bills to reform areas such as credit reporting and securities enforcement, their efforts have rankled some state regulators and consumer advocates because the laws could wipe out states’ authority over such financial questions.

Adding fuel to the fire is the Federal Office of the Comptroller of the Currency, or OCC, which proposes a number of financial rules that would pre-empt state regulation of consumer lending by national banks.

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