In a series of events this weekend, President Donald Trump’s newly named acting executive director to oversee the Consumer Finance Protection Bureau (CFPB) essentially shut the federal agency down by announcing that all activities were suspended, its upcoming funding was being eliminated and its headquarters closed, at least temporarily.
Russell Vought, who was confirmed as head of the White House Office of Management and Budget on Thursday, was appointed the head of the CFPB last Friday night, according to news reports. Vought was taking over for Treasury Secretary Scott Bessent, who was put in charge of the agency following Trump’s recent firing of CFPB Director Rohit Chopra less than two weeks ago.
Vought told the agency’s nearly 2,000 staffers on Monday to stay away from the office and do no work. Over the weekend, he announced that the agency would cease all “supervision and examination activity,” and said he would zero out the agency’s funding, according to Reuters. On Friday night, the agency’s website showed a “404: Page not found,” error message. The site was still flashing the same message as of Monday morning. Employees who came to the headquarters to retrieve laptops or personal items over the weekend were reportedly turned away by security.
Vought also has given members of Elon Musk’s budget-cutting organization the Department of Government Efficiency access to CFPB’s computer system.
A union representing CFPB workers had filed a suit in a Washington, D.C., federal court to stop the agency shutdown, arguing that Vought’s actions violated the U.S. Constitution by undercutting Congress’ power to fund the agency.
The CFPB has been controversial since its inception in 2010, and Republicans had repeatedly vowed to kill it, claiming the bureau harassed financial institutions, banks and mortgage companies with unchecked power. Supporters say the agency was the cop on the financial beat, protecting consumers from fraud, hidden fees and illegal activities. The agency has returned to consumers as much as $21 billion in unlawful fees and overcharges.
That type of clout has earned the bureau many enemies, including in the financial sector. Republicans, led by Sen. Ted Cruz, R-TX, have offered bills in the past few weeks seeking to defund CFPB.
Vought, the agency’s newly appointed director, is the author of Project 2025, a controversial Heritage Foundation blueprint for reinventing government in a second Trump term. He has been a harsh critic of the CFPB, stating in the Project 2025 document that Congress should abolish the agency.
