Consumer Financial Protection Bureau
| CFPB | |
| Agency overview | |
|---|---|
| Formed | July 21, 2011 |
| Jurisdiction | Federal government of the United States |
| Headquarters | Washington, D.C. |
| Agency executive |
|
| Website | consumerfinance.gov |
The United States Consumer Financial Protection Bureau (CFPB) is a federal agency which will hold primary responsibility for enforcing the federal laws and regulating consumer protection in the United States. On July 17, 2011, President Barack Obama, who supported the establishment of the new agency, chose Richard Cordray, a former Attorney General of Ohio, as his nominee to be the first Director of the CFPB. Elizabeth Warren, special consultant in charge of implementing the bureau, was passed over.[1] The bureau, which will commence operation on July 21, 2011, resulted from the Dodd–Frank Wall Street Reform and Consumer Protection Act during the 111th United States Congress in response to the Late-2000s recession and financial crisis.[2]
The CFPB opened its website in early February 2011 to accept suggestions from consumers via YouTube, Twitter and its own website interface. According to the United States Treasury Department, the bureau is tasked with the responsibility to "promote fairness and transparency for mortgages, credit cards, and other consumer financial products and services."[3] According to the bureau's own webpage, "The central mission of the Consumer Financial Protection Bureau (CFPB) is to make markets for consumer financial products and services work for Americans—whether they are applying for a mortgage, choosing among credit cards, or using any number of other consumer financial products."[4] The jurisdiction of the bureau includes banks, credit unions, securities firms, payday lenders, mortgage-servicing operations, foreclosure relief services, debt collectors and other financial companies, and its most pressing concerns are mortgages, credit cards and student loans, according to incoming enforcement chief, Richard Cordray.[2][5]
The bureau will be an independent unit located inside and funded by the United States Federal Reserve, with interim affiliation with the U.S. Treasury Department. It will write and enforce bank rules, conduct bank examinations, monitor and report on markets, as well as collect and track consumer complaints.[5]
Notes
- ^ Appelbaum, Binyamin (2011-07-17). "Former Ohio Attorney General Picked to Lead Consumer Agency". The New York Times. Retrieved 2011-07-17.
- ^ a b Eaglesham, Jean (2011-02-09). "Warning Shot On Financial Protection". The Wall Street Journal. Retrieved 2011-02-10.
- ^ "Consumer Financial Protection Bureau Website Launched and Open for Suggestions". Mybanktracker.com. 2011-02-07. Retrieved 2011-02-10.
- ^ "Learn About the Bureau". United States Consumer Financial Protection Bureau. Retrieved 2011-02-10.
- ^ a b Warren, Elizabeth (2010-09-14). "FACTBOX-New US consumer financial bureau has wide powers". Reuters. Retrieved 2011-02-10.