I, For One, Will Miss The CFPB

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The Consumer Financial Protection Bureau, or CFPB, was created by the Dodd-Frank Act back in 2010 and acts as a watchguard and regulator for the country’s financial industry. It made itself a target by passing financial regulations that likely included mission creep.

But as I wrote about several times over the years, it was really useful for consumer complaints against financial services companies.

As with the DOT, I’ve had some big wins thanks to CFPB complaints, including a complaint against a bank for taking too long to transfer funds from a CD that I closed. I had paid an early withdrawal penalty as the CD was well underwater due to rapidly rising post-COVID interest rates. I asked the CFPB to waive that penalty and grant additional interest due to the delay, and the bank agreed to both requests!

When a bank miscalculated interest owed to me, a CFPB complaint got that fixed, along with a goodwill credit. And when a credit card managed to lose my payment, a CFPB complaint got that fixed, along with a goodwill credit.

CFPB complaints didn’t always work, but it did help cut through the red tape and reach agents who were empowered to provide solutions.

However, Elon Musk’s DOGE has marked the agency for deletion:

https://twitter.com/elonmusk/status/1887979940269666769

There’s no doubt that government spending is wildly out of control. Just look at our ballooning national debt, which now exceeds our GDP. But that doesn’t mean that some of the cuts won’t sting.

The CFPB home page now has a page not found error and top agency officials have resigned after being placed on leave and after a stop-work order. It seems like you can still file a complaint, though, with a stop-work order, those might never be processed.

Where will consumers be able to turn to for help with financial institutions?

It takes time, but you can always try climbing the ladder internally by escalating cases to managers and HUCA. A local banker may be able to help you cut through some of the red tape. You can also file a complaint with your state’s attorney general, the Better Business Bureau, or take a company to small claims court. However, a CFPB complaint is a tool that I will miss if it goes away.

Have you had success with CFPB complaints?

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88 Comments On "I, For One, Will Miss The CFPB"

All opinions expressed below are user generated and the opinions aren’t provided, reviewed or endorsed by any advertiser or DansDeals.

Anon

If Democrats insist on turning federal agencies into proverbial guns against the head, we have no choice but to shrink and eradicate them all to the greatest extent possible.

Isaac G

Cfbp was created by Bush after the financial crisis

Anon

To be clearer, which I should have been, I mean weaponizing agencies to benefit Democrats—either personal riches, no profit donations, political contributions, influence, you name it, whatever is in the Democrat ecosystem.

Did you know that the Obama DOJ settled many cases with the defendant sending millions of cash to Democrat nonprofits, which then finds its way into Democrat pockets, and bankrolls political contributions, and on and on in a circle it goes.

Using agencies to extract cash for Democrats is worse than letting the guilty go free. So that’s why I say, shrink it down or eradicate the gravy train. As it exists, it hurts us.

ET

Incorrect

SM

The CFPB was probably the most effective US government agency.

They took $0 direct taxpayer $ and returned many multiples of their budget to consumers via enforcement action.

yossi

where do you think the money came from if not the taxpayer?

SM

Assessment to banks by the FRB

mark n

Lol that is funny

Seth J

This stuff is publicly available.
“The CFPB is funded outside the traditional congressional appropriations process. The CFPB funds its
operations through monetary transfers from the Fed’s combined earnings.” – Congressional Research Service report, “Financial Services and General Government FY2025 Appropriations: CFPB’s Funding and Structure Provisions,” dated August 21, 2024 (CRS Product IN12409).

The fact that it isn’t funded by congressional appropriations is how a payday lenders association sued (and failed) to have it declared unconstitutional​. CFPB won before the Supreme Court.

What all of that means is that the CFPB isn’t funded by taxes.

Ipcha Mistabra

Where do the “Fed’s combined earnings” come from?

AE

The Fed is a… funny beast. It’s part of the government, while at the same time, outside of the normal government. It’s income comes from lending money (it creates) to other institutions, such as banks, the Treasury, etc., as well as charging fees for its services. (Once again, to banks, Treasury, foreign countries, etc.) Storing gold in the vaults under Manhattan isn’t free! But you can see it as part of a school field trip – look it up!

Also, it has made quite a lot of money from taking over Fannie Mae and Freddie Mac (remember them?) back in the Great Recession.

It’s net profit goes to the Treasury every year. Technically, any monies being siphoned off to run the CFPB are, therefore, indirectly paid for by US taxpayers (via the deceased FRB profits sent to Treasury).

4yourinfo

Let’s say your right (which I highly doubt) and they sued banks which had to pay out millions in fines – where do you think banks/businesses get money from? It all trickles down to the consumer. A couple of numbers on a PowerPoint never shows the full picture. It shows what they want you to see.

matovu

Unelected Elon amassed Billions to drain our dollars for himself on the backs of the common tax payer.

I voted Biden !

yelped

You can have valid complaints against Elon and his team or you can post laughable comments like this.

Yehuda

He’s an unelected billionaire doing shady stuff without any oversight, all while lying and promoting Nazis on his website. He’s actively breaking this country. Those are valid complaints

Ha Ha

Well Biden lost so that sucks for you…

matovu

Sure does for me.
and now it sucks for you too. (if you’re honest about it, instead of insulting me)

D

How did you vote for Biden if the DNC withdrew him from the race?

yossi

you are an Idiot!

Yossi

Biden wasn’t on the ballot

Luke

Parroting an MSM taking point without using any critical thinking. Elon is heading an agency. Did you vote for the head of the FBI? The IRS? The DOJ? No, you voted for none of those. Sit down and please pay more attention.

Lucas

Parroting an MSM taking point without using any critical thinking. Elon is heading an agency. Did you vote for the head of the FBI? The IRS? The DOJ? No, you voted for none of those. Sit down and please pay more attention.

JW

An agency with a budget that is relatively small by government standards and has saved consumers billions of dollars in the 15 years it’s been in existence, definitely needs to be shut down. Just think of the poor corporations that had to deal with complaints from Dan that they couldn’t just ignore. /s

I’m beginning to think that President Musk doesn’t have our best interests in mind.

Lucas

Then you clearly don’t know how dirty Elizabeth Warren is… yet. People are so reactionary. The Wise wait and watch before deciding the score of the game before the game has even entered its 2nd qtr.

Sandy Gilbert

I concur

Geeek

As someone who is in an industry that is directly impacted/regulated by the CFPB I can confidently say that this will be a massive loss for US consumers of financial institutions and I daven that Trump and his ilk have their actions overturned.

yossi

they will replace it with a board that is answerable to Congress. Stop with that fake tears

Geeek

lol I have a bridge to sell you. There’s zero chance that they will create something that looks out for the consumer at this point.

Lucas

Given that Trump is ending Tax on Tips – how does that parallel and support your theory? I believe it does not.

LK

That’s one of many many things he’s babbled about. (along with ‘immediately’ ending inflation, wars etc). No evidence its happening. And if it does, he knows full well that most people don’t declare tip income and thus don’t pay taxes on it. And its up to Congress to change tax law anyway.

Logan

That’s awesome. Where can I get more details about this board that will replace the CFPB and handle consumer complaints?

Lucas

Exactly this. But they are all just going to continue to be super-reactionary because CNN and MSNBC program them how to feel about events, instead of just explaining events.

Really?

But Fox and Newsmax don’t do the same on the other side?

Lucas

Have you examined the scorecard lately?
HUNTER’S LAPTOP

VACCINES HARMFUL

PLANNED-DEMIC

LOCKDOWN

IVERMECTIN WORKS

HCQ WORKS

USELESS FACE MASKS

TWITTER CENSORSHIP

EPSTEIN SEX ISLAND

UKRAINE BIOLABS

CHILD TRAFFICKING

RUSSIAGATE

FAKE STEELE DOSSIER

Lucas

How many of these hoaxes do you still believe are true?
1. Russia Collusion Hoax
2. Steele Dossier hooker story
3. Russia paying bounties on US soldiers in Afghanistan
4. Trump called Neo-Nazis “Fine people.”
5. Trump suggested drinking/injecting bleach to fight COVID
6. Trump overfed koi fish in Japan
7. Trump cleared protestors with tear gas for a bible photo op
8. Hunter’s laptop was Russian disinformation.
9. Elections were fair because no court found major fraud.
10. January 6th was an “insurrection” to overthrow the government
11. Trump tried to grab the steering wheel of The Beast
12. Border Patrol Agents whipped illegal border crossers
13. Trump stored nuclear secrets at Mar-a-Lago
14. Governor Whitmer kidnapping plot
15. Trump mocked a reporter’s disability

lifehacker

The CFPB has gotten me $1,850 of bank bonuses that the banks either refused to pay or took longer to pay than indicated by the terms. I will miss them.

Karen

That isn’t the answer to the correct question. The correct question is how much did it cost to get you that $1850? And did it make any difference to how that bank behaves in the future?

mark n

This is the problem with everyone reacting in real time. All problems have a solution and of course consumers will have an agency. You can’t run a corrupt agency for the small good (and little of the total money) . It’ll be absorbed somewhere. A little patience will go a long way .

Geeek

Why do you think that will be the case?

Lucas

Because, as early as this is – there is already evidence to support it. For example — USAID as an org is closing down — but many non-fraudulent good programs will continue to operate — just folded into The State Dept. Having one less government bureaucracy, and all each individual one entails – will be a net positive in many ways.

Logan

Except consumers didn’t have an agency for this until it was created in 2011.

self proclaimed expert

Some of the cuts will absolutely sting. But $36 trillion dollars of debt stings a lot worse. Debt causes inflation and weakens the dollar, which makes everything you purchase more expensive

SV

I am all for cutting waste but the approach is so ludicrous. In 2 weeks he has found billions of dollars of waste and started cutting wholesale agencies day 1.
Complete your analysis and document all the waste, fraud and abuse. Present your findings seek input from everybody involved in that area and if after hearing all sides you come to the conclusion that you are right and take some action like this it would be much more believable.

Karen

ie spend billions and years more on the analysis and let all the corruption remain. LOL. This way is more like ripping the bandaid off. Yeah it will hurt, but it will hopefully get the job done. People can still provide input and if something is important it should still get done. It remains to see how this will all work out. I don’t think anybody will know for a couple of decades at already though.

lmao!

With a federal deficit of $1.6T, we need to make wholesale cuts. We don’t have the luxury of debating. yes, lots of seemingly good programs have to be cut. And for the bad programs, you can be sure that there will be defenders who say those are good programs too. It never ends in Washington.

Micha

They helped me get my money back from capital one. Capital one took Expedia’s side when virgin Atlantic cancelled my flight (and family) during COVID.

HP

OCC helped me in the past as well against bank misdeeds. That can still be an option

Maybe

A little off topic but maybe someone can help. My tax refund check from 2022 keeps getting stolen in the mail. And the IRS can’t change it to direct deposit since I originally filed it for paper check. Every few months I go through the process of having the new check traced, and turns out someone is cashing it! Any one else have this problem? Or any ideas?

AE

NYC or it’s environs? You are out of luck. USPIS either doesn’t care, or else takes a LONG time to investigate.

Try the Taxpayer Advocate, maybe they can help with the change to DD.

D A W

Both sides, lose the political trash talk please. I’m here for the Deals. Create a DDF for this

farmbochur

yawn… wake me up when they target cm$ and defen$e

Finance

Why would you put money in a CD??

Fan

Who wouldn’t miss it accept bank and billionaire’s?

4yourinfo

Those that pay taxes? Those that do business with banks? money for a govt when comes from someone that someone maybe a bank a billionaire – if it cost them guess what – it trickles down to you.

pinch

“When a bank miscalculated interest owed to me, a CFPB complaint got that fixed, along with a goodwill credit.”

I’ve never heard of that happening. Anyone else had this happen to them? Should I be calculating all my bank interest myself to make sure I’m actually getting the rate?

BTW, can you say which bank it was?

Aaron G

Large banks have less oversight than the government. If the government investigates someone they know who to talk to. Banks investigate (if they care to) and make decisions that benefit themselves and you can never get to speak to the decision makers or even the investigators. After a runaround from a bank, CFBP helped me recover a five figure sum that was fraudulently wired out of my account. There is perhaps no other agency now to help consumers when banks do the wrong thing AND they often do.

Aaron G

PS the vengeance which Musk is going after CFBP along with his RIP meme, suggests there is something under the surface that is motivating him.

Michael

A few months ago my chase business checking account was frozen by Chase, 7 phone calls nothing helped, 1 called to cfbp and within 24 hours my account was back open. I will Miss them!!!!

Anonymous

During the mortgage crisis of 2008, they did zilch. I worked in the field and if we tried to use them when a bank was wrong, they did nothing.

Ruven Pinkhasov

What are the other tools a consumer has at their disposal to fight these bank now?

Yed

Thanks @Dan for this report, very informative as always!
Where do I file a complaint against AMEX for deleting all my MR points after closing down my account, I have a letter they have sent me at that point that I can reach out and ask to transfer my points up to 90 days from my last Amex CC account closure, and I did that of course, BUT the transfer never take place and my points where eventually deleted, any time a called in my to ask to process that transfer the request was declined due to points expiration.

Ed A

The points and miles collectors will be affected by the proposed deregulation in that they will see their travel protections (DOT, FTC,CFPB etc) eliminated because they are opposed by Trump, the airlines and hotels. (e.g. tarmac delays, resort fees, cancelled flights, 24 hour flight cancellation). Consumer rights are in the crosshairs of the rich so get ready for a bumpy ride Trump voters! (or a delayed ride).

Bob

I’m happy that Trump is being given enough rope. But I wish, when others refer to the national debt, they would mention the last couple presidents who balanced the budget.

Shmuely

You may file a complaint with the FTC, same as before the creation of the CFPB, and additionally with a state equivalent dealing with consumer fraud.

More government isn’t the answer. The harm is caused because the government colludes with the banks against consumers and the CFPB was created to give the illusion of relief for people.

Aaron G

The FTC does not handle individual cases, they say it clearly. They do not respond to your filing. Individual states may or may not, as they handle it differently. You may not agree with more government, but stating that “the CFPB was created to give the illusion of relief” is patently false. It is a documented fact that they have helped many thousands of consumers reclaim an aggregate of billions of dollars.

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