Trump's CFPB rollback has cost Americans
Consumer groups say at least $18 billion lost
By: Douglas Gillison
Reuters
..... President Donald Trump's rapid pullback of the U.S. consumer Financial Protection bureau has cost Americans at least $18 billion in higher fees and lost compensation for consumers allegedly cheated by major companies, according to an analysis released June 24 [2025] by two organizations.
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The increased consumer costs form the CFPB's rollback of regulations on bank fees, wholesale dismissal of cases against banks and other lenders and the apparent failure to disburse funds intend for harmed borrowers run counter to Trump's campaign pledges to each the cost of living, according to the Student Borrower Protection center and the Consumer Federation of America.
..... Representatives fro the White House and CFPB did not immediately respond to request for comment.
..... Since Trump took control of the CFPB in February, [2025] calling for its elimination, administration officials have sought to reduce the workforce by about 90% and sharply curtail its industry oversight.
..... Administration officials accuse the agency and its former leadership of exceeding their legal power, burdening free enterprise and engaging in politicized enforcement of consumer laws.
..... However, in a statement on June 24, [2025] the two organizations lsited acitons Trump's team had taken that they said shifted costs onto consumers.
..... Under former President Joe Biden, the agency had sought to cap credit card late fees at $8 and overdraft fees at $5. The Trump administration's move to end those polices should together cost consumers $15 billion a year, according to the statement.
.... The dismissal of 22 enforcement cases that were pending when Biden left office in January [2025] - including actions against JP Morgan Chase, Bank of America, wells Fargo and Capitol One - involved more than $3 billion in alleged harm to consumers.
..... the CFPB has also scrapped or revised settlements it had already concluded with Toyota and a payments processor, meaning about $50 million in redress payments will never be made, the statement said.