MANHATTAN (CN) - The Securities and Exchange Commission voted to propose new capital, margin and segregation requirements for security-based swap dealers to comply with Dodd-Frank protections, the agency announced.
Passed in 2010 to create a consumer protection bureau, the Dodd-Frank Wall Street Reform and Consumer Protection Act issued new regulations for banks, mortgage companies, payday lenders and credit card lenders. The act takes its name from its biggest proponents, former Sen. Chris Dodd, D-Conn., and former Rep. Barney Frank, D-Mass.
Dodd-Frank aimed to curb credit card fees, end unfair rate hikes, clarify rules on student loans, eliminate hidden penalties and fees in mortgage agreements, and give shareholders a say in executive pay.
At an open meeting, the SEC voted unanimously on Wednesday to propose rules required by the law.
"Together, these rules are intended to make the financial system safer, and the derivative markets fairer, more efficient, and more transparent," SEC Chairwoman Mary Shapiro said in her opening remarks.
The rules will be open for public comment for 60 days after their publication in the Federal Register.
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