The U.S. Supreme Court ruled this week that the Consumer Financial Protection Bureau’s (CFPB) funding structure does not violate the constitution, overturning a decision from the U.S. Court of Appeals for the Fifth Circuit.
You can read the ruling here.
“The court’s decision to side with the CFPB is one of acute consequence to credit unions and their 142 million members who are suffering from the unchecked actions of the bureau,” said America’s Credit Unions (ACU) President and CEO Jim Nussle. “America’s Credit Unions is disappointed with the ruling as we strongly believe that the CFPB’s current funding structure denies any accountability to Congress and ultimately the consumers it is tasked with serving.”
He added: “The CFPB has the ability to shape the entire financial services marketplace with its actions, but has chosen to pursue overreaching regulatory burdens as a result of its broad powers. America’s Credit Unions will continue to advocate for accountability and transparency at the bureau.”
ACU’s legacy organizations and the American Association of Credit Union Leagues (AACUL) filed a brief in July 2023 claiming the bureau’s funding scheme violates the appropriations clause, and the court should declare the structure unconstitutional and give Congress time to adopt measures to fund the bureau.
