Get Involved

You Can Change the Rules

If you’re an investor or want to be, you have the right to participate in the process that makes the rules protecting investors and governing markets.

Securities and Exchange Commission building

Counter Wall Street by Making Your Voices Heard

Rulemaking is a public, (mostly) transparent process at agencies like the Securities & Exchange Commission (SEC), which writes the rules implementing the laws that Congress passes. That doesn’t mean it’s easy for the public to participate in the rulemakings. But the public must because it’s the only way to change the system, which is often rigged, has too many unfair rules, and too often lets predators get rich ripping off Main Street investors. That’s because Wall Street’s biggest banks and financial firms have lots of lobbyists and lawyers participating in that process and there are too few investors.

SUBMITTING A COMMENT LETTER

Here’s a quick overview of the rulemaking process: agencies like the SEC and CFPB are required to invite the public to submit letters with comments on their rule proposals. The agencies are then required to consider each comment letter they receive. They usually receives lots of letters from Wall Street’s army of lobbyists, lawyers, and political allies to dilute, limit, or kill the rules. Their goals are to maximize their profits—profits that come from the pockets of everyday investors like yourself! The agencies rarely hear from the individual retail investors who invest in the stock markets.

Your views and your engagement are critical! That’s why we’ve laid out everything you need to know about the rulemaking process below. Don’t let Wall Street’s voice be the only voice our regulator hears!

CFPB’s Proposed Rules on NSF & Overdraft Fees

When a consumer tries to make a payment but does not have enough money in their account, usually one of two things happens. One outcome is an overdraft — the financial institution will extend credit to the consumer to cover the difference and permit the transaction to go through. Typically, the institution charges a fee for this overdraft loan. The other outcome is that the financial institution simply declines the transaction for insufficient funds, sometimes charging a fee to the consumer in the process.

The CFPB has proposed two new rules to restrict or prohibit these types of fees and is seeking public comment on each of the proposals.

CFPB Rule on Nonsufficient Funds (NSF) Fees for Instantaneously Declined Transactions (Deadline March 25, 2024)

First, the CFPB has proposed a new rule that would prohibit banks and other financial institutions from immediately charging non-sufficient funds (NSF) fees on transactions that financial institutions decline due to insufficient funds. These types of transactions include declined debit card purchases and ATM withdrawals, as well as some declined peer-to-peer payments.

Better Markets will be advocating in support of this important rule. As it works to finalize the rule proposal, the CFPB will benefit from the views of all stakeholders, including the everyday consumers the rule is designed to protect.

Submit your comment letter in one of three ways:

CFPB’s Online Form via Regulations.Gov: Go to the CFPB’s proposed rule page on Regulations.gov, ensure you are on Docket (CFPB-2024-0003), and click on “Comment.” You may submit your comments via the provided text box or by attaching a separate document.
By Email – You may submit your comments via email by emailing [email protected]. Be sure to include Docket No. CFPB–2024–0003 or RIN 3170–AB16 in the subject line of the message.
By Mail – You can also mail your comments to:

2024 NPRM Fees for Instantaneously Declined Transactions
c/o Legal Division Docket Manager
Consumer Financial Protection Bureau
1700 G Street NW
Washington, DC 20552

CFPB Rule on Overdraft Lending: Very Large Financial Institutions (Deadline April 01, 2024)

The CFPB has also proposed a new rule restricting the ability of banks to charge customers overdraft fees.

The proposal would close an outdated loophole that exempts overdraft lending services from longstanding provisions of the Truth in Lending Act and other consumer financial protection laws. For decades, very large financial institutions have been able to issue highly profitable overdraft loans, which have garnered them billions of dollars in revenue annually. Under the proposal, large banks would be free to extend overdraft loans if they complied with longstanding lending laws, including disclosing any applicable interest rate. Alternatively, banks could charge a fee to recoup their costs at an established benchmark – as low as $3, or at a cost they calculate, if they show their cost data.

Submit your comment letter in one of three ways:

CFPB’s Online Form via Regulations.Gov: Go to the CFPB’s proposed rule page on Regulations.gov, ensure you are on Docket (CFPB-2024-0002), and click on “Comment.” You may submit your comments via the provided text box or by attaching a separate document.
By Email – You may submit your comments via email by emailing [email protected]. Be sure to include Docket No. CFPB-2024-0002 or RIN 3170-AA42 in the subject line of the message.
By Mail – You can also mail your comments to:

2024 NPRM Overdraft
c/o Legal Division Docket Manager
Consumer Financial Protection Bureau
1700 G Street NW
Washington, DC 20552

Submitting a Comment Letter—Some Key Points to Remember

There’s no magic formula but there are some things you can do to help your comment letter have the most impact.
Include the File number for the rule. The subject line of your message should include the File Number for the rule. This is the number that begins “S7-” or “SR-” and you can find it at the top of the rule proposal.
Briefly describe who you are and why you care about the rule proposal.
Set forth the points you want to make. For example, you can:
- Identify weaknesses in the rule that the agency should change
- Express support for the rule
- Share or cite any relevant data, research, or reports you think the agency should consider
Attach any documents you think support your arguments.

Want to See Some Examples? Here’s a Select Few to Inspire You

Now, remember, lawyers and specialists work for us, so our work is often long, complicated, dense, and unreadable legal language more than English! You don’t have to be like that and, in fact, should not! Put it in your own words, relate it to your investing activities and investments, and offer your views.

Better Markets Work

October 11, 2022 – Better Markets Comments on Clearing Agency Governance and Conflicts of Interest

April 11, 2022 – SEC Proposal Will Make Stock Trading More Efficient, Less Risky

January 10, 2022 – The SEC Must Bring Short Selling Out of the Shadow

December 27 2021 – Better Markets Urges SEC to Rescind Trump-Era Provisions That Make it Harder for Investors to Receive Independent Advice on Proxy Votes

December 15, 2021 – Better Markets Supports Disclosure of Proxy Voting by Registered Investment Companies