CFPB in Turmoil
Chaos and uncertainty engulf the Consumer Financial Protection Bureau (CFPB) when the director of the agency resigned. Before his departure, he appointed CFPB Chief of Staff Leandra English to serve as acting director. The Trump Administration immediately appointed Office of Management and Budget (OMB) Director Mick Mulvany to the same position. In response, English filed suit in the U.S. District Court to block Mulvany’s appointment but the court ruled in favor of the Trump Administration’s appointment. Ultimately, the individual selected as permanent Director of CFPB will require Senate confirmation.
FRA’s Legislative Agenda includes working to ensure that the Servicemembers Civil Relief Act (SCRA) is enforced by regulatory agencies, including the CFPB, Office of Military Affairs. The agenda also works to ensure active duty personnel are protected from predatory lenders. FRA recently supported a CFPB regulation to make mandatory arbitration agreements in financial contracts unenforceable. Earlier this year, the House passed the “Financial CHOICE Act” (H.R.10), which seeks to dramatically reshape the regulation of banking and other financial activities. This legislation includes a number of provisions weakening the CFPB and its Office of Service Members Affairs. The bill is currently in the Senate for consideration. Members can use the FRA Action Center to ask their Senators to oppose this legislation.