WASHINGTON, D.C. – Today, Consumer Financial Protection Bureau (CFPB) Director Kathy Kraninger joined the Trump Administration in urging the U.S. Supreme Court to give the president more influence and control over the CFPB, the agency that regulates the financial services industry. Kraninger and the U.S. Department of Justice (DOJ) jointly asked the Court to consider an appeal that would allow the president to remove the CFPB director at-will instead of for-cause.
Since its creation, the CFPB has operated as an independent agency, free of political influence or interference. In joining DOJ in this appeal, Kraninger is abdicating her responsibility as an independent regulator.
Center for Responsible Lending Litigation Director Will Corbett released the following statement:
Since its establishment, the CFPB has proven to be highly effective in responding to unlawful, abusive practices within the financial services industry. Its ability to make consumer protection a top priority is due to its leadership structure by a single director who is insulated from undue special interests. Payday lenders and their allies in Congress and the Administration have consistently tried to weaken CFPB for meritless and political reasons. Kathy Kraninger is now making common cause with that effort. Any attempt to curb CFPB’s independence by disrupting its organization is a real threat to consumers across the country.
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Press Contact: ricardo.quinto@responsiblelending.org