In a memo obtained by Scripps News, newly confirmed OMB Director Russell Vought announced that he will become acting director of the Consumer Financial Protection Agency and will suspend much of his work.
CFPB is an independent governmental body responsible for rules and oversight that protects the citizens when working with banks, debt collectors and other financial companies. Set credit card, mortgage and student loan rules to ensure consumers are treated fairly.
At the time of writing, some of the CFPB websites have been removed and are no longer available.
In the memo, Vought stopped working at almost all agencies, including investigations, enforcement and rules development. The agency’s contracts and lawsuits have been suspended, and the agency has been instructed to stop communicating with the public following instructions from President Donald Trump.
“I am committed to implementing Presidential policies in line with the law and acting as a loyal custodian of the Bureau’s resources,” Vought wrote in a memo.
Vought later posted on social media that the CFPB “will not receive the next federal funds because it was not “reasonably necessary” to perform its duties.”
In accordance with the Consumer Financial Protection Act, I have notified the Federal Reserve that the CFPB will not acquire the next draw on fraudulent funds as it is “not reasonably necessary” to perform its duties. The department’s current $711.6 million balance is actually…
– Russ Vought (@RussVought) February 9, 2025
Republicans have repeatedly sought to curb CFPB’s liability and authority by eliminating the Congressional budget or by submitting briefs in support of lawsuits that challenge the agency’s funds.
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Vought, who was confirmed last week as head of the White House’s Office of Management and Budget in a party-based Senate vote, is a contributor to Project 2025, a conservative plan to review the government. The agenda considers the CFPB unconstitutional and calls for its dissolution.
