Trump Pushes To Shut Down CFPB Over Funding Dispute

Benzinga

The Trump administration moved to dismantle the Consumer Financial Protection Bureau, arguing the agency can no longer draw funds from the Federal Reserve. The DOJ cited the Fed’s recent losses, while Democrats warned that closing the CFPB would harm consumers and violate court rulings.

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00:00It's Benzinga, bringing Wall Street to Main Street.

00:03The Trump administration filed a legal motion seeking to dismantle the Consumer Financial

00:07Protection Bureau, according to The Guardian. Administration attorneys said the CFPB expects

00:12to run out of funds by early 2026 and cannot legally request more from the Federal Reserve.

00:19The agency was created after the financial crisis to oversee consumer finance

00:22and has returned over $21 billion to U.S. consumers.

00:26The Department of Justice's legal counsel claimed the Fed's losses since 2022

00:31prevent the CFPB from drawing funds from combined earnings.

00:35White House Budget Director Russell Vought said in October that he plans to shut down the CFPB within three months.

00:42Democrats condemned Vought's plan to close the CFPB, citing court rulings that prohibit its shutdown

00:46and warning it would harm American families.

00:49For all things money, visit Benzinga.com.

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