Republicans want to muzzle database of consumer complaints

WASHINGTON (AP) — U.S. consumers filed nearly 300,000 complaints last year about their dealings with banks, credit card issuers and other financial services companies.

[...] Republicans working to overhaul the financial regulation law known as Dodd-Frank want to bar publication of information from that database, which industry groups have long criticized as potentially misleading and incomplete.

"Once the damage is done to a company, it's hard to get your reputation back," responded Bill Himpler, executive vice president of the American Financial Services Association, a trade group representing banks and other lenders.

The exchange reflects what House Republicans are thinking as they try to make changes to Dodd-Frank, the law passed in the aftermath of the 2008-2009 financial crisis.

Detractors note that the Federal Trade Commission maintains a database of consumer complaints regarding data security, deceptive advertising and identity theft.

Kate Larson, director of the Center for Capital Markets Competitiveness at the U.S. Chamber of Commerce, said it was "a bit of a departure" from other regulatory agencies for the bureau to publish the complaints and consumer narratives.

"For the first time, individuals now have a place to turn to get the timely responses they deserve and the database gives consumers an important voice in the marketplace that they otherwise might not have," said Darian Dorsey, a deputy assistant director at the agency.