CFPB
CFPBAlso called consumer Financial Protection Bureau
The Consumer Financial Protection Bureau is the US federal agency that writes and enforces federal consumer financial law. Created by the Dodd-Frank Act in 2010, it supervises banks and credit unions with more than $10 billion in assets and many nonbank lenders. It also handles consumer complaints and enforces bans on unfair, deceptive or abusive practices.
How it works
The CFPB examines supervised firms against its Supervision and Examination Manual, starting with the firm's compliance management system. Examiners test areas such as mortgage servicing, fair lending, debt collection, credit reporting and deposit accounts. Findings can lead to matters requiring attention, consent orders, restitution to consumers and civil money penalties. The bureau also runs a public complaint database that firms must answer.
For compliance officers at large banks, card issuers, mortgage servicers and payment firms, the CFPB defines many consumer rules they apply day to day. It is funded by transfers from the Federal Reserve rather than annual appropriations, a structure the Supreme Court upheld in May 2024. Since 2025 the bureau has narrowed its supervisory and enforcement priorities, and in August 2026 it stopped discretionary publication of complaint narratives.
The rules
Created the CFPB and gave it rulemaking, supervision and enforcement powers, including over unfair, deceptive or abusive practices.
Providers of consumer financial products and servicesDate the bureau opened and took over consumer finance powers from other federal agencies.
Federal consumer financial lawThe Supreme Court held that the bureau's funding through the Federal Reserve is consistent with the Appropriations Clause.
CFPB fundingCommon questions
Which firms does the CFPB supervise?
It supervises banks, thrifts and credit unions with more than $10 billion in assets, plus nonbank mortgage lenders and servicers, payday lenders, private student lenders and larger participants in markets such as debt collection and consumer reporting.
What is UDAAP?
UDAAP stands for unfair, deceptive or abusive acts or practices. The Dodd-Frank Act bans them in consumer finance. The CFPB enforces the ban, and the abusive standard is specific to its statute.
Does the CFPB regulate smaller banks?
It writes rules that apply to all banks. For banks and credit unions with $10 billion or less in assets, examinations for consumer compliance stay with their prudential regulators, such as the FDIC, OCC, Federal Reserve or NCUA.
What powers does the CFPB use in enforcement?
It can investigate, issue civil investigative demands, sue in federal court or bring administrative proceedings. Outcomes include consent orders, restitution to consumers and civil money penalties.
