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WASHINGTON, DC — An Accountable.US review of new corporate political spending data from the Federal Election Commission found that in March 2024 alone big bank trade groups gave $36,000 to Republican U.S. Senators who weeks later co-sponsored a Congressional Review Act Resolution to kill the Consumer Financial Protection Bureau’s (CFPB) popular new rule capping credit card late fees at $8, down from an average of $32. Donors include the American Bankers Association – a co-plaintiff in the U.S. Chamber of Commerce lawsuit seeking to block the CFPB rule — and the Independent Community Bankers of America that publicly opposes the effort to save consumers up to $10 billion a year. The resolution authored by Senator Tim Scott (R-SC) is expected to be voted on in the Senate Banking Committee in the coming weeks while the MAGA-led U.S. House is expected to vote on mirror legislation as early as next week. Another Accountable.US analysis found the House Financial Services Committee who voted to advance the resolution last week have taken nearly $8 million over their careers from the largest credit issuers and industry groups most affected by the rule. 

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Coincidentally, Senate Republicans now pushing legislation to keep credit card late fees as high as $41 got a campaign cash infusion just weeks ago from big bank groups that see excessive and hidden junk fees as their ticket to record profits. Rather than help the Biden administration lower costs for everyday Americans, these Senate Republicans are going out of their way to keep credit card bills billions of dollars higher than they need to be, just to enrich some banking CEOs and wealthy investors. How about putting consumers first for a change?”

Accountable.US’ Liz Zelnick

Despite industry spin, the CFPB’s exceptionally popular rule would save millions of Americans $220 per year on average, a total surpassing $10 billion across the nation annually, and would be a significant step towards alleviating crushing credit card debt plaguing American families. These Senate Republicans’ efforts come even as new polling showing more than four in five Americans want Congress to support capping credit card late fees. 

BACKGROUND: Sen. Scott Serves Big Banks At Expense of Consumers: Sen. Scott has worked to deregulate the financial industry while taking millions from the industry’s biggest players. Even before the CFPB released its draft rule, Sen. Scott questioned the validity of fee caps, echoing industry talking points while defending excessive fees. Sen. Scott has been fighting for higher fees for a long time. After opposing a national 36% interest rate cap on consumer loans, he later argued the Bureau “‘lacks transparency and seeks to operate beyond its jurisdiction.’” 

Learn more about Sen. Scott anti-consumer crusade at The ‘MAGA Economics’ Project by Accountable.US. 

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