Yes, People Should Be Frightened By Mulvaney’s CFPB Post


Yesterday on Fox Business, OMB Director Mick Mulvaney warned that his authority at the Consumer Financial Protection Bureau (CFPB) ‘should frighten people.’

Yes.  Yes, it should.  Mulvaney – having once called the CFPB a ‘sick, sad joke’ – has been appointed by President Trump as the acting head to chip away at the power of a watchdog agency protecting the financial services industry.

On his first day, Mulvaney made his first frightening move: immediately imposing a freeze on hiring and new protections and payments for American consumers who have been harmed by financial institutions.

Washington Post Op-Ed: Trump’s swampiest move yet

It’s not entirely clear that Trump’s choice to run the CFPB, White House budget director Mick Mulvaney, has legal authority to assume the role. But he does have confections. Mulvaney showed up for his first day on the job Monday carrying a shopping bag full of Dunkin’ Donuts in Christmas-themed boxes.

Doughnuts alone do not a director make. Under the statute that created the CFPB, the watchdog agency set up after the 2008 crash to police lending abuses, it should now be rightfully run by Leandra English, the deputy director who succeeds the just-resigned director, Richard Cordray, until the Senate confirms a permanent replacement. Trump found another statute that he says lets him appoint Mulvaney. English filed suit to defend her legitimacy, Mulvaney submitted doughnuts, and a Trump-appointed federal judge, to nobody’s surprise, ruled in Trump’s favor. An appeal is likely.