CFPB's Expansion Efforts Draw Criticism From Lawmakers

In Short

The Situation: Since being confirmed as Director of the Consumer Financial Protection Bureau ("CFPB") last year, Rohit Chopra has urged state attorneys general to work with his agency to enforce federal consumer protection laws, and has sought to expand their ability to enforce the federal Consumer Financial Protection Act and other consumer protection laws by issuing an interpretive rule published in May of this year.

The Action: The CFPB's actions have drawn criticism from Republican lawmakers and business interests that argue the CFPB has misinterpreted federal law and overextended its authority. Despite this criticism, the CFPB continues to push for increased collaboration with state AGs and is sticking by its interpretive rule encouraging state AGs to enforce federal consumer protection laws.