TBA CEO gives statement on Sen. Cruz’s Defund the CFPB Act

“TBA applauds Senator Ted Cruz (R-TX) for taking bold action to bring the Consumer Financial Protection Bureau under control with the introduction of the Defund the CFPB Act. Because the agency operates off-appropriations, the Bureau over the last four years has been unaccountable for bureaucratic over-reach and politicized regulation that harms small businesses and community banks that serve them.

CFPB is a prime example of bureaucratic hypocrisy. The Bureau demands adherence to the law but it has a record of evading the Administrative Procedure Act. CFPB accuses others of discrimination but in 2023 settled a $6 million discrimination lawsuit with its own employees. CFPB issued a Sec. 1033 rule to “protect” consumer privacy but revealed in 2023 that it exposed the data of over a quarter million Americans. And the Bureau has defended an over-reaching, 888-page Sec. 1071 rule that would collect even more data on small businesses.  

No agency should be allowed to exercise authority without accountability to the people’s elected representatives, yet CFPB’s current funding structure enables just that. The Defund the CFPB Act sponsored by Senator Cruz is a key step toward enabling Congress and the new Administration to take back control from unelected bureaucrats.”