fbpx

Day: February 3, 2025

The CFPB is not protecting or serving consumers. Freeze it.

Washington, D.C. – Today, following the appointment of Treasury Secretary Scott Bessent to become acting director of the Consumer Financial Protection Bureau (CFPB), several directives were issued to freeze virtually all actions, rules, and pending litigation carried out by the agency. A source inside CFPB indicated the agency is essentially shut down for the time being. 

Yaël Ossowski, Deputy Director at the Consumer Choice Center, an international consumer advocacy group, reacted to the news with a note of optimism,

“The CFPB was designed to help financial consumers navigate the marketplace and punish bad actors but instead has become a tool of federal regulators seeking to delay or slow down financial innovation. It’s obstructionist and politicized.

The CFPB largely duplicated the efforts of the Federal Trade Commission (FTC) and the Securities and Exchange Commission (SEC), and added another layer of complexity to financial firms looking to innovate. CFPB has restrained credit availability and made it more difficult for consumers to get access to capital such as business loans,” said Ossowski.

Observers are the media and Congress have expressed concern about consumer welfare with the CFPB being frozen under the Trump administration. Created by Dodd-Frank and opened in 2011 as a response to the 2008 financial crisis, CFPB was launched with relative immunity to outside oversight, despite being funded by the Federal Reserve.

Ossowski added, “The CFPB has spent more time defending their existence in federal court than advancing legitimate consumer protection cases. Consumers already have a responsive FTC, SEC, and the ability to advance lawsuits at the state and local level when harm has been done.”

READ in TOWNHALL: Ossowski on how the CFPB got a pass from the Supreme Court, but it’s past its prime

According to Bloomberg Law, Bessent’s first actions were to suspend all activities including investigations and external communications out of the CFPB, subjecting them to strict review by the new administration.

“Policing fraud and deception in our financial markets is an important role in our federal system, but too many cops on the beat has led to confusion for innovators and consumers alike, all the while granting questionable constitutional authority to the CFPB.

At best, the CFPB is an agency without watchers. At its worst, it’s an unaccountable bureaucracy blocking innovation and discouraging entrepreneurship,” concluded Ossowski.


The Consumer Choice Center is an independent, nonpartisan consumer advocacy group championing the benefits of freedom of choice, innovation, and abundance in everyday life for consumers in over 100 countries. We closely monitor regulatory trends in Washington, Brussels, Ottawa, Brasilia, London, and Geneva. Find out more at www.consumerchoicecenter.org.

Trump’s Tariff Standoff Hurts Consumers

Washington, D.C. – Over the weekend, President Trump announced 25% tariffs to be applied to goods coming from both Canada and Mexico beginning February 4th. Similar tariffs would be applied to Chinese imports at just 10%. Already, things are changing. Mexico’s president Claudia Sheinbaum just announced that after a conversation with U.S. President Donald Trump and concessions on border enforcement, tariffs are on hold for another month.

Yaël Ossowski, Deputy Director at the Consumer Choice Center, reacted to the news of a pause on US-Mexico tariffs by saying,

“We’re glad that the pause button is being hit here, but the uncertainty of whether prices will jump 25% tomorrow or next month is enough to leave consumers frustrated and confused. Economic uncertainty limits the economic potential for everyone involved in this trade dispute.”

Trump posted on social media that he spoke Monday morning with Canadian Prime Minister Justin Trudeau and would “be speaking to him again at 3:00 P.M.” While Mexico is standing down on a trade war with the U.S., Canada remains uncertain. 

“The problem here is that Trump boosters are telling themselves that “tariffs work” when what we’re seeing is more akin to foreign policy negotiation between neighbors, not economics. Maybe the threat of tariffs work for President Trump’s agenda, but if tariffs are actually implemented, consumers will see exactly what they do, which is explode the prices for everyday goods,” said Ossowski.

READ in THE HILL: CCC’s Elizabeth Hicks and Sabine El-Chidiac on how the tariffs will harm both American and Canadian consumers

The North American trading bloc is uniquely positioned to thrive in the years ahead. The deeply integrated supply chains between the U.S. and Canada have long helped keep consumer prices down, particularly in the automotive sector. In 2022 alone, Canada exported $12.9 billion in motor vehicle parts and accessories, with an overwhelming $11.4 billion of that destined for the U.S.

Tariffs on Canada could still happen as soon as Tuesday, meaning an immediate impact on US and Canadian consumers if retaliation is carried out. 

In Michigan, Canadian automotive trade accounts for 13% of the state’s gross product. With Canada supplying $132 billion worth of oil and petroleum to the U.S. annually, there’s little chance the Trump administration could replace that supply with domestic production quickly enough to prevent a spike at the pump.

“If this afternoon phone call between Trump and Trudeau doesn’t go well, and they tend not to see eye to eye on much, Americans could see gas prices beyond the $4.00 mark before Valentine’s Day. We don’t think the livelihoods of entrepreneurs, small business owners, and everyday consumers should be on the bargaining table,” concluded Ossowski.


The Consumer Choice Center is an independent, nonpartisan consumer advocacy group championing the benefits of freedom of choice, innovation, and abundance in everyday life for consumers in over 100 countries. We closely monitor regulatory trends in Washington, Brussels, Ottawa, Brasilia, London, and Geneva. Find out more at www.consumerchoicecenter.org

Scroll to top
en_USEN

Follow us

WASHINGTON

712 H St NE PMB 94982
Washington, DC 20002

BRUSSELS

Rond Point Schuman 6, Box 5 Brussels, 1040, Belgium

LONDON

Golden Cross House, 8 Duncannon Street
London, WC2N 4JF, UK

KUALA LUMPUR

Block D, Platinum Sentral, Jalan Stesen Sentral 2, Level 3 - 5 Kuala Lumpur, 50470, Malaysia

© COPYRIGHT 2025, CONSUMER CHOICE CENTER

Also from the Consumer Choice Center: ConsumerChamps.EU | FreeTrade4us.org