Group letter signed by U.S. PIRG, state PIRGs and allies to CFPB Director Kathy Kraninger urging her to cancel a reorganization intentionally designed to weaken the authority of the bureau’s enforcement attorneys. This reorganization comes in the midst of a public health crisis and pandemic, with case numbers rising throughout the country and as federal and state consumer protections continue to expire, leaving consumers vulnerable to predatory financial actors.
“The undersigned 83 consumer, civil rights, community, housing, student advocacy, legal services, and other public interest organizations write to urge you to abandon your proposed reorganization of the Consumer Financial Protection Bureau’s (CFPB) Division of Supervision, Enforcement, and Fair Lending (SEFL). Instead of strengthening the arm of the CFPB that holds predatory financial institutions accountable, your proposal would drastically weaken its authority, independence, and ultimately, effectiveness, leaving consumers vulnerable and defenseless. An industry law firm, Arent Fox LLP, even said that “the change amounts to the single most effective effort by the CFPB to weaken its own Enforcement arm since the Trump administration took over. It cuts across all industries and products overseen by the Bureau.”