One year ago this month, President Obama signed the landmark Wall Street Reform and Consumer Protection Act, also called the Dodd-Frank Act, into law. In reflecting on this important milestone, we should remember why we needed to act to restore the public's trust in our financial system and what has happened since the bill became law.

Years of excess, greed, financial shenanigans and weak regulation of some sectors resulted in a severe financial crisis that took our economy to the edge of a cliff and resulted in a deep recession that began in late 2007. The U.S. economy runs on credit, but credit began to contract in ways not seen since the Great Depression.

What caused these problems? The answer is many things. Investment houses and global banks had taken on excessive risks and became overleveraged. Managers of financial institutions made short-term decisions based on their bonuses and compensation. In search of greater profits, unscrupulous lenders gave subprime mortgages to families who could not afford the houses.