A Message from Consumer Action

Consumer Action's MoneyWi$e educational materials have moved to our Managing Money Project website. Here you may view, download and order bulk copies of the MoneyWi$e materials. Please make a note of the Managing Money Project address— www.managing-money.org —and add it to your address book.

Coalition Efforts

Consumer Action is working on these important issues along with other organizations. If you would like to know more about these issues, please see “More Information” at the end of each article.

 

Postings

Studies show systemic racism in insurance industry
Consumer Action joined a coalition of consumer and community activists in submitting comments to the National Association of Insurance Commissioners' Special Committee on Race and Insurance urging them to focus efforts on creating tools to help states and insurers identify and combat systemic racism in insurance. Studies over many years have shown elements of racism in pricing, placement of agents, redlining and other aspects of insurance. But systemic racism is not found in just a few elements of insurance; it casts its shadow across all aspects of insurance and needs to be confronted in a systematic and holistic manner.

Allies urge CFPB Director not to weaken its enforcement arm
A coalition of more than 80 consumer and civil rights groups urged the Consumer Financial Protection Bureau’s (CFPB) Director Kathy Kraninger to "abandon" her "October Surprise" proposed reorganization. Instead of strengthening the arm of the CFPB that holds predatory financial institutions accountable, the proposal would drastically weaken its authority, independence, and ultimately, effectiveness, leaving consumers vulnerable and defenseless during an already financially stressful time.

Student advocates urge DeVos to extend loan suspension
Over 70 community, civil rights, consumer, and student advocacy organizations urged U.S. Education Secretary DeVos to extend the suspension of payments on federal student loans through September 2021. The current suspension on federal student loans is set to expire on December 31, 2020. If the Education Department doesn’t extend the current suspension, borrowers will find it harder than ever to make ends meet as they are thrown back into repayment or forced collections while the economy continues to suffer.

ED must stop funding fraudulent and predatory for-profit colleges
Consumer, student and veteran advocates wrote to U.S. Department of Education Secretary Betsy DeVos to ask her to withhold federal funding from schools managed by the Center for Excellence in Higher Education after a Colorado state district court judge ruled that numerous schools managed by the organization had lied to prospective students about graduates’ earnings, job placement opportunities and loan repayment options. Advocates noted that the Higher Education Act bars institutions from receiving federal student aid funding if it “has been judicially determined to have committed fraud.”

The Department of Transportation fails to address consumers' pandemic concerns
In a letter sent to Department of Transportation (DOT) Secretary Elaine Chao, consumer groups expressed their deep frustration that the Department’s Aviation Consumer Protection Advisory Committee is ignoring the most pressing airline passenger complaints and concerns during the COVID-19 pandemic. The letter notes that many Americans are concerned about the risk of contracting the coronavirus while flying, and that a record 50,000 consumers filed complaints with the DOT about the airlines’ refusal to provide refunds for canceled flights during the crisis. Neither topic was addressed at the most recent Committee meeting, which was only the second such meeting since the Committee was reconstituted in the fall of 2018.

Seniors deserve a simplified Medicare enrollment process
Consumer Action joined Better Medicare Alliance (BMA), the leading research and advocacy organization supporting Medicare Advantage, in unveiling a new white paper that contains a set of comprehensive recommendations to reimagine Medicare enrollment and empower beneficiaries to make better sense of their coverage options. The coalition’s five-pronged plan, entitled “Empowering Beneficiaries and Modernizing Medicare Enrollment,” offers bold recommendations for reform, including shifting all Medicare enrollment responsibilities from the Social Security Administration to the Department of Health and Human Services.

Advocates tell CFPB: “Stop violations of the Fair Credit Reporting Act.”
Consumer Action joined a coalition of 20 advocacy groups in urging the Consumer Financial Protection Bureau (CFPB) to revoke permission that the Bureau granted the credit reporting industry to violate the 30-day deadline imposed by the Fair Credit Reporting Act (FCRA) for investigating disputes — a waiver that was given to help ease the burden of business operations during the start of the coronavirus pandemic. Given the severe financial difficulties that the COVID-19 pandemic has inflicted on millions of American consumers, and after seeing a 550% increase in complaint submissions to the CFPB on the matter, it’s more important than ever that credit reporting disputes are resolved in a timely manner.

State-based “bills of rights” needed to protect student loan borrowers
Consumer Action joined a coalition of over 50 organizations in support of a Student Loan Borrower Bill of Rights in Massachusetts. (We also supported a similar effort that recently passed the California legislature.) Even before the current pandemic, student loan borrowers have had to deal with a predatory student loan servicing industry that knowingly misleads borrowers to increase its profits. With the increased financial instability brought by the pandemic, it’s more important than ever that borrowers are informed of their rights and are protected by strong consumer guidelines.

Patients deserve access to cheaper prescription drugs
The Food and Drug Administration sought input for improvements to its generic drug approval process, including for complex generic drugs. Advocates stressed the importance of implementing policies that increase competition among drug companies and reduce barriers to cheaper prescription drugs. It’s time Americans have greater access to more affordable drugs and newly approved generic medicines.

The next COVID-19 relief package should include these critical consumer protections
Millions of people and small businesses in the United States are experiencing tremendous financial distress because of the COVID-19 pandemic. Unemployment is skyrocketing and families are struggling to put food on the table. Congress and the administration need to enact broad-based, efficient, and effective relief that goes far beyond the CARES Act to protect people’s homes, cars, bank accounts, income, and benefits so that they can weather this crisis. Consumer Action joined nearly 100 consumer, civil rights, community and other public interest groups weigh in on recommendations for Congress' next stimulus package.

Quick Menu

Support Consumer Action

Support Consumer

Join Our Email List

Optional Member Code
Facebook FTwitter T

MoneyWise Modules

Managing Money Topics

Help Desk

Advocacy