SPLC backs consumer protection rule restricting forced arbitration

  The Southern Poverty Law Center joined 286 advocacy groups on August 23 voicing support for the Consumer Financial Protection Bureau’s (CFPB) proposal to restrict the financial industry’s use of forced arbitration – a tactic employed by Wall Street banks and predatory lenders to prevent consumers from challenging illegal practices in court.

  In a letter submitted on the final day of the proposed rule’s public comment period, the groups lauded it as “a significant step forward in the ongoing fight to curb predatory practices in consumer financial products and services.” The CFPB will consider the public’s comments before issuing the final rule.