Agency’s Independence Is Necessary to Its Mission, Groups Say

WASHINGTON, D.C. – The U.S. Consumer Financial Protection Bureau’s (CFPB) independence from external political influence is crucial to the agency’s mission of protecting consumers, Tzedek DC and nine other groups told a court today in an amicus brief filed in the U.S. District Court for the District of Columbia.

Along with Tzedek DC, the groups are Public Citizen, Americans for Financial Reform, Center for Responsible Lending, Consumer Action, National Association of Consumer Advocates (NACA), National Consumer Law Center (NCLC), National Consumers League, National Fair Housing Alliance (NFHA) and U.S. Public Interest Research Group Education Fund (U.S. PIRG Education Fund).

In the case, Deputy CFPB Director Leandra English is seeking a preliminary injunction allowing her to serve as acting director of the CFPB while litigation over the lawful acting director – herself or U.S. Office of Management and Budget Director Mick Mulvaney – proceeds. In their amicus filing, the groups explain that the public has a strong interest in English serving as the acting director while the court further considers the legal issues.

“The CFPB’s independence is critical to its effectiveness in protecting our client community of low-income D.C. residents, who often face debt, credit and predatory lending crises, as well as unjust debt collection activities,” said Ariel Levinson-Waldman, president and director-counsel of Tzedek DC. “The Bureau, to say the least, should not be run by a member of the president’s Cabinet. The court should act to ensure compliance with Congress’s intent in Dodd-Frank of having an independent CFPB.”

The organizations’ amicus brief is here.