Employees of the Consumer Financial Protection Bureau (CFPB) in Chicago are asking for public support after the Trump administration significantly reduced the agency’s enforcement efforts.
Since its creation in 2011, the CFPB has helped consumers recover over $20 billion. However, that work has nearly stopped after the administration ordered employees to cease operations earlier this month.
Employees Speak Out
“We work every day to protect American consumers, but now we need the public to help protect us,” said Joe Sanders, an enforcement attorney and union member. He urged people to contact their elected officials to support the agency.
Since February 8, CFPB employees have been locked out of their Chicago office and placed on paid administrative leave. According to a report by Senate Democrats and Senator Elizabeth Warren, consumer complaint processing has dropped by 80% since the shutdown.
Trump Administration’s Actions
Former President Donald Trump has criticized the CFPB, calling it a source of “waste, fraud, and abuse.” On February 1, he fired CFPB Director Rohit Chopra and replaced him with Russell Vought, who then ordered employees to stop all supervisory and investigative work. The agency also dropped a lawsuit against Capital One, which had been accused of misleading consumers out of $2 billion.
A lawsuit filed by the National Treasury Employees Union has temporarily stopped mass firings at the agency. However, employees remain uncertain about their future.
Impact on Consumers
CFPB examiner Matthew Tybor said he and his colleagues handle complaints about mortgages, student loans, credit cards, debt collection, and medical bills. “We personally respond to these complaints and get results,” he said during a rally outside the agency’s office in the John C. Kluczynski Federal Building.
Consumer advocates warn that the agency’s shutdown could harm millions of Americans. The CFPB has been instrumental in taking action against major banks like Wells Fargo, which faced a record $3.7 billion fine in 2022. The bureau also pushed banks to lower overdraft and insufficient funds fees, saving consumers an estimated $6.1 billion annually.
Additionally, the CFPB enforced the Military Lending Act, protecting active-duty service members from financial exploitation.
Concerns About Medical Debt
One major concern is the agency’s halted efforts to remove medical debt from credit reports. Nearly 23 million Americans have benefited from this rule, including Sanders himself. “I know how hard it was to get that [medical debt] removed,” he said. “Pausing this rule will hurt a lot of people.”
Employees remain committed to their mission and hope to return to their work soon.
