CFPB plans to transfer enforcement actions to DOJ

Following the Trump Administration's recent filing arguing the CFPB is legally prohibited from receiving additional Federal Reserve funds and will soon exhaust currently available funds, reports Thursday indicated that the bureau plans to transfer all litigation activities to the Department of Justice as a result.

Throughout this year, the bureau has dropped several of its active enforcement actions and has not opened any new ones. In addition to transferring the actions, the bureau will likely furlough workers, including roughly 100 enforcement attorneys.

America’s Credit Unions and its members have long urged reforms to the CFPB’s structure and funding process, emphasizing the importance of congressional oversight and greater accountability. The association has consistently called for subjecting the bureau to the appropriations process and establishing a bipartisan commission to lead it, aligning with recent developments in the administration’s position.