Trump Officials Face More Pushback on CFPB Funding Argument

Nonprofits working on consumer financial protection issues and former Federal Reserve officials challenged the Trump administration’s assertion that the Consumer Financial Protection Bureau can’t get more money because the central bank isn’t “profitable.”

The Justice Department’s Office of Legal Counsel said in a November opinion that the Fed can only provide funding to the CFPB when it has positive net earnings. The CFPB said in a court filing that it would soon run out of money due to that opinion.

But that interpretation is incorrect and merely part of acting CFPB Director Russell Vought’s plot to dismantle the agency, Rise ...