WASHINGTON, D.C. -

Before Tom Brady and the New England Patriots claimed another Super Bowl victory on Sunday night, President Trump released his latest executive order and outlined what he called the “core principles” of financial system regulation, generating a wide array of industry-supporting and consumer-backing organization reactions.

These “core principles” arrived at the same time Trump instructed the Treasury Secretary to meet with member agencies of the Financial Stability Oversight Council — which includes the Federal Reserve, the Consumer Financial Protection Bureau and the Securities and Exchange Commission — to examine the components of the Dodd-Frank Act and what portions potentially can be reduced or even eliminated.

“We expect to be cutting a lot out of Dodd-Frank because, frankly, I have so many people, friends of mine that have nice businesses that can’t borrow money. They just can’t get any money because the banks just won’t let them borrow because of the rules and regulations in Dodd-Frank,” Trump said ahead of Friday’s Strategy and Policy Forum; an event that included Jamie Dimon of J.P. Morgan Chase, Mary Barra of General Motors and Dan Yergin of IHS Markit.

During his weekly radio address, Trump added, “On every single front, we are working to deliver for American workers and American families. You, the law-abiding citizens of this country, are my total priority. Your safety, your jobs and your wages guide our decisions.

“We are here to serve you, the great and loyal citizens of the United States of America,” the president went on to say.

Before going into the reaction of organizations such as the National Automotive Finance Association and the American Financial Services Association, here are those seven “core principles” Trump outlined:

— Empower Americans to make independent financial decisions and informed choices in the marketplace, save for retirement, and build individual wealth

— Prevent taxpayer-funded bailouts

— Foster economic growth and vibrant financial markets through more rigorous regulatory impact analysis that addresses systemic risk and market failures, such as moral hazard and information asymmetry

— Enable American companies to be competitive with foreign firms in domestic and foreign markets

— Advance American interests in international financial regulatory negotiations and meetings

— Make regulation efficient, effective, and appropriately tailored

— Restore public accountability within Federal financial regulatory agencies and rationalize the Federal financial regulatory framework.

After reviewing Trump’s latest executive order, NAF Association executive director Jack Tracey expressed support in an email message to SubPrime Auto Finance News.

"The National Automotive Finance Association commends the president’s commitment to review the Dodd-Frank Act and the regulatory environment surrounding the consumer finance. And we support his seven core principals of regulation as the foundation for the review," Tracey said.

"Our financial system is a principal driver of the country’s prosperity," he continued. "Unnecessary and overly restrictive regulation limits the role the financial community plays in growing the economy, creating jobs and providing individuals with the ability to have access to credit to finance their transportation needs. 

"The auto financing industry is anxious to work with regulators to build a marketplace where consumer rights and interests are protected and funding for car financing is readily available," Tracey went on to say.

In a separate email message to SubPrime Auto Finance News, AFSA vice president of communications Jack Ferry said, “The American Financial Services Association (AFSA) has worked to protect access to safe, responsible consumer credit for over 100 years. Today’s executive order will examine the federal regulatory burden that many financial services companies face, with the goal of reducing that burden and expanding credit access nationwide. 

“AFSA will continue to illustrate the important role that access to consumer credit plays in the American economy,” Ferry added.

Also chiming in was the Financial Services Roundtable, which represents the largest integrated financial services companies providing banking, insurance, payment and investment products and services to the American consumer.

“Modernizing America’s financial regulatory system in ways that will grow the economy, create jobs and protect consumers as well as taxpayers is a key ingredient to boosting financial opportunities for America’s families and businesses,” said Financial Services Roundtable chief executive officer Tim Pawlenty, a former presidential candidate and governor of Minnesota.

More reaction from industry supporters

When seeing the White House developments, Consumer Bankers Association president and CEO Richard Hunt disseminated immediate reaction via his Twitter account.

“The latest executive order on financial regulations is a signal to the marketplace and consumers,” Hunt posted.

“Banks are better capitalized today than in history. Now is the time to look to reforms and bring balance back. Time to move this economy,” he added in another Tweet.

Two other organization that represent institutions that not only participate in auto financing but also hold deposits and offer other services reacted affirmatively to what Trump did. Those comments included:

Rob Nichols, American Bankers Association president and CEO:

“While banks have continued to meet the needs of their customers, clients and communities to the best of their ability, they have faced tremendous headwinds that came with a sharp increase in highly prescriptive government regulation and the sheer weight of more than 24,000 pages of proposed and final Dodd-Frank rules.

“We appreciate the administration’s support for pro-growth policies so banks can go even further in helping communities and our economy thrive. Reducing the strong regulatory headwinds banks face is critical to increasing lending that drives job creation across America.

“A sensible and careful review of Dodd-Frank and other financial regulations can and should strengthen those goals while unleashing the power of the banking industry — from small towns and communities to our nation’s financial centers — to fuel the increase in economic prosperity that we all seek. We look forward to working in a bipartisan manner with the administration, Congress and bank regulators on policy changes that will keep banks strong and focused on providing the capital that is so essential to rebuilding our economy.”

Jim Nussle, Credit Union National Association president and CEO:

 “We appreciate the administration's direction to ensure that regulations are appropriately tailored to target those harming consumers and to provide more consideration to the impact of these regulations on American consumers.

“The current one-size-fits-all style of regulation does not work for Main Street – local credit unions, small banks, and the consumers and small businesses they serve. We're hopeful that the core principles spelled out today will help ensure community financial institutions and the millions of Americans that rely on them are able to operate in a more favorable environment. We stand willing to work with the administration and Congress to make appropriate changes to achieve these goals.”

Pushback against Trump’s actions

While the CFPB declined to offer an official comment to Trump’s executive order, a host of other consumer-oriented groups expressed varying degrees of disappointment. Here are a couple of examples.

According to Wade Henderson, president and CEO of The Leadership Conference on Civil and Human Rights, “Making the financial system more fair and transparent is essential to providing low-income and minority communities with more economic stability. Over the past decade, our country has learned hard lessons about what happens when the game is rigged and regulators turn their backs to reckless subprime mortgages, payday loan debt traps, and shady bank account fees.

“President Trump seems bent on forgetting those lessons and on betraying the people he professed to represent when he talked about a ‘rigged’ system,” Henderson continued.

And Lisa Donner, executive director of Americans for Financial Reform, added, “Wall Street titan Goldman Sachs seems to be taking over financial regulation in the United States, trying to make it easier for them and other big banks like Wells Fargo to steal from their customers and destabilize the economy. That is a betrayal of the promises Trump made to stand up to Wall Street. If they succeed it will have painful consequences.”