Which act was put in place as a response to the financial crisis to enhance consumer protections?

The Dodd-Frank Act was enacted in 2010 as a direct response to the financial crisis of 2007-2008, with the primary goal of reforming the financial regulatory system in the United States to improve consumer protections and increase the stability of the financial system. One of the key components of the Dodd-Frank Act was the establishment of the Consumer Financial Protection Bureau (CFPB), which is tasked with overseeing and enforcing regulations that protect consumers in financial transactions, including those related to real estate and mortgages.

The Dodd-Frank Act introduced measures aimed at preventing the predatory lending practices that contributed to the housing market collapse. It requires greater transparency in financial products and imposes stricter regulations on mortgage lending practices to help ensure that consumers are fully informed about their borrowing options and the associated risks. By focusing on consumer protection and financial stability, the Dodd-Frank Act represents a significant shift in how financial institutions operate and the level of oversight applied to them.

In contrast, while other acts mentioned may address specific consumer protection issues, they either predate the financial crisis or focus on narrower aspects of the market rather than the comprehensive reforms initiated by the Dodd-Frank Act.