Well, this headline certainly wrote itself. CNN reports that Massachusetts Congressman Barney Frank will not be seeking re-election to Congress in 2012.
During his time in Congress, Frank was most notorious for the passage of the Dodd-Frank Act, which placed more financial regulations on Wall Street and not supported by any Republicans in the House of Representatives. The Dodd-Frank Act has created more headaches for banks. Under this act, banks were required to lend money to borrowers who could not afford to pay the money back, thus creating a scenario, where banks would have to resort to riskier investment to make up for losses. Additionally, if banks did not comply with lending to these borrowers, they could not acquire the best rates, which would not allow them to issue competitive rates.
It’s a good thing Frank is retiring.