12. More accountability for credit rating agencies
Credit rating agencies that give recklessly bad advice could be legally liable for investor losses. They would have to register with the Securities and Exchange Commission.
Regulators would also study the conflict of interest at the heart of the rating system: Credit raters are paid by the banks that issue the securities they rate. Before the crisis, they bowed to pressure from the banks, lawmakers say. That's why the agencies gave strong ratings to mortgage investments that were basically worthless.
Related: Credit rating agencies