California Attorney General Bill Lockyer is accusing federal banking regulators of exceeding their authority by trying to block the state´s efforts to protect consumers. Lockyer told a legislative hearing Wednesday that the Office of the Comptroller of the Currency is ignoring federal laws that envision a dual role for state and federal regulators.
A spokesman for the comptroller´s office, Robert Garsson, disagrees, noting that federal courts have ruled in the office´s favor in two lawsuits involving the state.
One lawsuit challenged the state´s efforts to regulate when mortgage lenders can start charging interest. The other challenged a law requiring credit card lenders to warn consumers about how long it would take to pay off their debts by making only minimum monthly payments.
This post was last modified on 01/31/2009 4:45 pm