Trump administration to cut agents protecting Americans from predatory loans, bank fraud and financial scams

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The Consumer Financial Protection Bureau (CFPB), the agency responsible for protecting Americans from predatory loans, bank fraud and financial scams, is now under attack. New Director of Management and Budget Russell Vought has quickly stepped out of CFPB funding and shut down its execution activities. What is CFPB and why is it important? Founded in 2011 after the 2008 financial crisis, the CFPB aims to keep banks, credit card companies, mortgage lenders and debt collectors accountable to the company. Since its launch, it has recovered more than $21 billion for consumers cheated by financial institutions. Crack down predatory lenders targeting low-income and minority communities. Illegal practice of fines major banks, including Wells Fargo and JPMorgan Chase. Help consumers fight back against unfair credit card fees, debt collection harassment and fraudulent loans. He wasted no time targeting the CFPB, asking them to be confirmed Thursday. In an article on X (formerly Twitter), he announced that the agency would be blocked from getting more funds and announced that its $711.6 million balance was “too high.” He also sent an internal email ordering employees to immediately stop all investigations, law enforcement actions and public communications. This means: No more consumer fraud investigations No fines for banks engaged in predatory practices helped create CFPB Elizabeth Warren slammed Vought's move, accusing him of “providing big banks and giant companies” to big companies. The green light comes to cheat families. “The decision is part of a wider government restructuring led by Elon Musk's government department. Efficiency (Doge) has been actively expanding federal agencies. Democrats are already calling the move illegal and suggesting a legal battle.

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