National CAPACD Denounces Ruling That Would Undermine Consumer Protections
This week, a three-judge panel of the U.S. Court of Appeals for the 5th Circuit ruled that the funding mechanism for the Consumer Financial Protection Bureau (CFPB) is unconstitutional. This jeopardizes more than a decade of progress by the CFPB and advocates to keep consumers safe from predatory financial products and services. By challenging how the Bureau is funded, the ruling makes it possible for bad actors to undermine other CFPB consumer protections.
“This ruling is a threat to consumer safety and well-being,” states National CAPACD Executive Director Seema Agnani. “It intends to weaken past and future CFPB rulemaking and enforcement remedies that hold financial actors accountable for the predatory actions they take. This includes unsafe products and services that target low-income Asian American, Native Hawaiian, and Pacific Islander communities. As advocates who serve the communities most vulnerable to predatory financial practices, we must work together to preserve and strengthen the CFPB.”