WASHINGTON—Russell Vought, who Thursday was confirmed by the Senate as the head of the Office of Management and Budget, is now acting director of the CFPB, The Wall Street Journal reported.
Vought now steps in for Treasury Secretary Scott Bessent, who earlier this week was also named acting CFPB director following the departure of Rohit Chopra.
As CUToday.info reported, Bessent this week mandated a suspension of a wide range of activities at the CFPB. And among those activities halted is the imposing of the $5 OD cap for financial institutions over $10 billion in assets.
That led analysts to cast doubt on the future of many CFPB rules, especially those that have yet to take effect.
Bessent this week instructed CFPB personnel to cease all rulemaking activities and suspend the effective dates of any rules that had not yet taken effect. He further directed employees to stop all activities related to enforcement actions, litigation, and public communications.
Several analysts believe Vought will not change the course set by Bessent, as Vought is also a strong proponent of deregulation.
Michael Moebs, economist and chair of Moebs $ervices, agreed with that perspective, adding that Vought is more likely than Bessent to dismantle the CFPB.
The Wall Street Journal reported that Friday, Elon Musk, posted “CFPB RIP” on his X social-media platform with an emoji of a tombstone.
Concerns have been mounting among CFPB staff members following the arrival of officials from Musk’s Department of Government Efficiency. These officials were granted “read-only” access to various systems, according to an email to staff reviewed by The Wall Street Journal.
CU Trades React
America’s Credit Unions and the Defense Credit Union Council both stated they look forward to working with Vought.
"As a strong defender of fiscal restraint and deregulation, many of Vought’s priorities intersect with the goals and priorities of the credit union industry. We look forward to discussing our ideas and the credit union difference as Vought takes on this interim role,” said Jim Nussle, ACU president/CEO.
"Mr. Vought will carry out President Trump's commitment to deregulation and bring the agency back into line with Congressional intent," said DCUC Chief Advocacy Officer Jason Stverak. "Our hope is that the CFPB will trust credit unions as member-owned cooperatives to serve the best interests of their members."