Dealer-assisted financing of customers' car purchases would be regulated by a new consumer protection office under a financial-regulation bill passed by a Senate committee yesterday.
The provision is markedly different from one that passed the House in December, which would exempt dealers from regulation by a new independent consumer protection agency.
The 1,336-page Senate Banking Committee bill, which now goes to the Senate floor, would create a Consumer Financial Protection Bureau inside the Federal Reserve.Oversight of auto financing by a new agency was pushed by consumer groups and the Pentagon over objections by the National Automobile Dealer Association.
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