We Need a Consumer Champion to Lead the Consumer Bureau
By Mike Litt, U.S. PIRG
Consumer Financial Protection Bureau (CFPB) Acting Director Mick Mulvaney has said, “Look, I’m not here to shut the place down because the law doesn’t allow me to do that.”
His actions speak louder.
Mulvaney requested $0 for this quarter’s budget from the Federal Reserve. He has claimed the plan is to operate off of surplus money that former Director Richard Cordray had saved as a reserve fund for emergencies.
Another example? Mulvaney’s recent statement that the Consumer Bureau has put their payday lending rule on hold. The rule, finalized in October 2017 under the direction of Cordray, would restrict payday lenders’ ability to grant consecutive high-interest-rate loans. These loans have been trapping consumers into cycles of debt that are hard to escape.
From requesting no budget to moving the agency away from its mission, it’s clear: Mulvaney is not leading the Consumer Bureau, he’s trying to undermine it.
The Consumer Bureau is set up to be our watchdog on Wall Street. Since it was created in 2011, the bureau has returned more than $12 billion to consumers hurt by financial wrongdoing. But it can’t do its job without a director who believes in its mission.
Mulvaney’s recent actions are just attempts to weaken the bureau’s ability to work on behalf of consumers and be an effective watchdog on Wall Street.
That’s why we’re calling on our senators to only confirm a qualified consumer champion to permanently lead the Consumer Bureau. You can help by taking action now.