Despite the clear intentions expressed by President-elect Donald Trump to dismantle the Dodd-Frank Act, Richard Cordray, director of the Consumer Financial Protection Bureau, announced he has no plans of leaving his role anytime soon, according to an article by Barbara Mishkin for Ballard Spahr.
The director’s term ends in July 2018, and Cordray announced earlier this week that he plans to fulfil that term. In fact, CFPB Communications Director Jen Howard stated, “Director Cordray was confirmed by a bipartisan group of 66 senators to serve a term until July 2018 and has no plans to step down.”
Now, several civil rights groups have spoken out in support of the CFPB and its director, according to another article by Mishkin. Those groups include the Leadership Conference on Civil and Human Rights, the NAACP, National Council of La Raza and National Urban League.
These groups joined together, stating the CFPB “has significantly improved the lives of people across the country, especially in our diverse communities.” The groups also say “any effort to weaken the agency or undermine its leadership would risk severe impacts on our communities — including communities of color and low-income families who are most vulnerable to financial abuse.”
The groups went on to point out the CFPB recovered more than $11 billion for 27 million consumers. They also boast the regulator’s fight against discriminatory practices in the financial marketplace, according to the article.
This is in stark contrast to a video from the US Consumer Coalition, which recently launched a targeted campaign against the CFPB. The coalition’s ad, called The CFPB Man, attacks the regulator’s data collection practices and reminds shoppers they’re always being watched. Watch the video here.
And the regulator’s days may indeed be numbered, as it has been under increased scrutiny ever since President-elect Donald Trump unveiled plans to “dismantle” the Dodd-Frank Wall Street Reform Act.
During the elections, the 2016 Republican Party platform called for seriously cutting the government’s role in housing, potentially abolishing the CFPB and ending the use of disparate impact to enforce fair lending laws.
What exactly will the mortgage industry look like after the president-elect moves into the oval office? While it's hard to say for sure, click here to see what one expert says is the future of the mortgage industry and the CFPB.