Appeals court rules structure of Obama-era Consumer Financial Protection Bureau unconstitutional – IOTW Report

Appeals court rules structure of Obama-era Consumer Financial Protection Bureau unconstitutional

JTN: A federal appeals court has ruled that the funding structure for the Obama-era Consumer Financial Protection Bureau is unconstitutional.

The ruling was made Thursday in a case brought by a group of so-called payday lenders.

A three-judge panel for the 5th U.S. Circuit Court of Appeals in the case threw out a regulation by the financial watchdog agency governing such high-interest-rate lenders. The panel also ruled that the way the federal bureau is funded “violates the Constitution’s structural separation of powers.”

The bureau was created by the Obama administration and Congress following the financial crisis and 2007-09 Great Recession to try to better protect Americans when dealing with banks, student loan, credit card companies and other financial firms, according to National Public Radio.  

Congress approved the bureau’s funding. But the CFPB, in an attempt to protect it from political influence, receives its funding from the Federal Reserve, which the court said violates the Constitution. MORE

4 Comments on Appeals court rules structure of Obama-era Consumer Financial Protection Bureau unconstitutional

  1. What’s truly sad is this was created in 2011….more than 11 years ago. And it’s JUST NOW being shut down for being unconstitutional. Imagine how much damage the criminals in power can do to us simply knowing it can take a decade or more for the courts to get around to shutting down their crimes…..

    3
  2. Tony R
    OCTOBER 21, 2022 AT 10:18 PM
    “Was there anything the Obiden administration did that WAS constitutional?”

    …well, as an Indonesian, Barry HIMSELF certainly wasn’t…

    4

Comments are closed.