Supreme Court to Decide Fate of Consumer Financial Protection Bureau in Challenge to Funding Structure

The Supreme Court has agreed to hear a case challenging the Consumer Financial Protection Bureau’s (CFPB) funding structure. The case is a significant threat to the CFPB, which was created in 2010 to protect consumers from financial exploitation.

The case, which was brought by the State National Bank of Big Spring, Texas, argues that the CFPB’s funding structure is unconstitutional. The CFPB is funded by the Federal Reserve, not Congress, and its director is not subject to removal by the president.

The lawsuit seeks to change the CFPB’s funding structure, which would give Congress and the president more control over the agency.

House Financial Services Committee Ranking Member Patrick McHenry (R-NC) released a statement saying, “This case presents an opportunity for the Supreme Court to affirm the separation of powers and ensure that Congress and the president have the ability to oversee and fund the CFPB.”

The Supreme Court will hear arguments in the case later this year. The outcome will have a major impact on the CFPB’s future and the ability of consumers to be protected from financial exploitation.