• News
  • Money

Mulvaney Says CFPB Has Enough Money

Mulvaney Says CFPB Has Enough Money

What budget priorities Mulvaney has for the CFPB will become more clear once he makes his request for third-quarter funding later this year as the agency spends down its rainy day fund.

Mulvaney's request for no funding came as Mulvaney announced the first step toward an overhaul of the agency: a review of its entire operation.

CFPB acting director Mick Mulvaney wrote in a letter to Fed Chair Janet Yellen that, based on his assessment of the bureau's financial status, the agency has more than enough available funds on hand to cover all of its operating costs for the second quarter of fiscal 2018. The zero was typed in boldface.

In his letter, Mr. Mulvaney states that he has been assured that the current balance of the CFPB's fund at the Federal Reserve Bank of NY is sufficient for the CFPB "to carry out its statutory mandates for the next fiscal quarter while striving to be efficient, effective, and accountable".

While previous management has preferred to carry a reserve fund, Mulvaney said there's no law requiring it to do so and he sees no "practical reason" to continue the practice.

Not requesting any money will allow the bureau to do its part for deficit reduction.

Find out more about this unprecedented decision and what Democrats are saying in response.

President Donald Trump named Mulvaney as the temporary head of the the agency in late November, after former director Richard Cordray announced he was retiring to run for OH governor. It also played a key role in penalizing Wells Fargo & Co. for its creation of unauthorized accounts.

The Consumer Financial Protection Bureau on Thursday dropped a lawsuit against four payday lenders.

The consumer agency in its lawsuit filed a year ago accused the lenders of deceiving consumers and unlawfully withdrawing from their bank account to pay debts they didn't legally owe. Regulators and consumer advocates say the loans, which are meant to be repaid quickly, can trap borrowers in cycles of costly debt that are hard to escape. The roughly $150 million he asked the Fed to transfer to the Treasury instead of to the CFPB is a laughably small amount to contribute compared to the billions in positive material gains for American workers that the agency uses its budget to win. "This is signaling that the [bureau] is going to stand down on the online payday lenders who refuse to comply with state interest-rate caps".

The rule was likely to have upended the industry.

Leave Your Comment

Leave Your Comment

Latest News

Breaking News


Dolores O'Riordan cause of death: tests awaited by inquest

The official Cranberries website cited "medical reasons associated with a back problem" that prevented O'Riordan from performing. Olé Koretsky , the boyfriend of Cranberries singer Dolores O'Riordan, has spoken about her death for the first time.

Uber completes sale of US$9.3b in stock led by SoftBank

The transaction with Uber is definitely a new forward for the ride hailing service after having a shaky year. "We're proud to have SoftBank , Dragoneer and the entire consortium in the Uber family".

Boris Johnson's Channel Tunnel is "a bridge too far"

His enthusiasm for a second crossing was not shared by a Downing Street spokesman who said: "I haven't seen any plans on that". Currently, the only way the countries are connected are by the Channel Tunnel railway line which runs under the sea.

Hamas Claims Suspect in Killing of Rabbi as Member

Palestinian witnesses said they saw at least two Palestinians arrested, with clashes continuing into Thursday morning. The Israeli army said in a statement on Twitter that Jarrar had used a "self-manufactured weapon".

IOC Clears Nearly 400 Russians to Compete in Winter Games

At the 2016 Rio Games, Russian athletes were presumed tainted by their nation's state-backed doping program unless they proved otherwise.

Pope Francis Defends Chilean Bishop Accused of Covering up Sexual Abuse

While Karadima's victims were deemed credible by the Vatican, Francis apparently felt the need to change course on Thursday. They staged an unprecedented protest during his 2015 installation ceremony and have protested his presence ever since.

Apple Will Release iOS 11.2.5 Next Week

However, the Apple CEO advised users not to do so, warning that it could result in unexpected restarts of their smartphones. As soon as we get some details on the exact release date of the iOS 11.2.5 software update, we will let you guys know.

Sheriffs, Immigration Officials Unveil Plan to Work Together

The paper, citing an anonymous source, reported about a planned operation to be conducted by the U.S. They are looking to arrest more than 1,500 undocumented immigrants and send the state a message.

Cincinnati Bengals fans taking their turn giving to another QB's charity

Blake Bortles is feeling the love from Bengals fans after he helped the Jaguars beat the Steelers this past weekend. Bengals fans took notice of the performance against their rival and chose to thank the third-year quarterback.

UN Palestinian Agency Calls For Donations After US Freezes Funds

UNRWA was created almost 70 years ago, after the 1948 Arab-Israeli war, to assist more than 700,000 displaced Palestinians. The United States, far and away the largest donor to UNRWA, pledged $355 million toward agency operations in 2016.