
The CFPB: A Bureaucratic Beast That Devours the Very People It Claims to Protect
How the CFPB Was Forced Into Existence
After the 2008 financial crisis, the political vultures swarmed, looking for a way to consolidate even more power. Enter Senators Chris Dodd and Barney Frank—two relics of the political machine—who saw their last opportunity to leave a lasting stain on America’s financial system. With an assist from Elizabeth Warren (a Harvard professor at the time, hellbent on becoming America’s financial nanny), the CFPB was shoved into Dodd-Frank under the guise of “consumer protection.”
Warren likely expected to be crowned its first director, but her nomination sparked enough outrage that she retreated into a Senate run instead—where she continues to champion the same disastrous policies, just from a different seat of power.
The CFPB was designed to be an untouchable fortress. It was uniquely independent, receiving its funding straight from the Federal Reserve rather than Congress. It was also insulated from presidential oversight—its director could only be removed “for cause,” a clear violation of constitutional separation of powers. It took a 2020 Supreme Court ruling to fix that, declaring the CFPB director must be fireable at will by the president. Even after that, the agency’s funding scheme survived a 2024 legal challenge, proving once again that the Fed and its cronies can rewrite the rules whenever it suits them.
A Phantom Agency Running on Fake Money
Here’s the kicker: the CFPB’s funding is tied to the Federal Reserve, which has been hemorrhaging money since September 2022. The Fed should have no revenue to fund the CFPB, but through some accounting wizardry, it simply books its losses as a “deferred asset” and keeps the cash flowing anyway. Translation? The CFPB isn’t just a rogue agency—it’s a zombie, kept alive through fiscal necromancy by the same central bankers who engineered the financial crisis in the first place.
The CFPB’s “Protection” is Just Government Meddling Disguised as Help
On the surface, the CFPB’s online complaint portal looks like a helpful tool. People can air grievances about shady credit reporting agencies, debt collectors, and banks. But let’s be real—how many of these complaints stem from financial illiteracy, irresponsible borrowing, or people simply not wanting to pay what they owe? The CFPB is essentially a taxpayer-funded customer service line for bad financial decisions, reinforcing the idea that someone else is always to blame for personal failures.
And then there’s its regulatory crusade against basic economics. The CFPB recently capped bank overdraft fees at $5, down from the national average of $35. Sounds great, right? Wrong. By forcing banks to eat the costs of overdrafts, they’ll simply stop offering services to riskier customers. The result? More low-income Americans forced out of the banking system and into the arms of predatory payday lenders.
The same logic applies to the agency’s cap on credit card late fees, which dropped from $32 to $8. The bureaucrats claim this will save consumers billions—but what it will actually do is make credit harder to get for those who need it most. Banks aren’t charities; if they can’t charge enough to cover the risk of lending to people with spotty payment histories, they’ll just deny those people credit altogether.
And you can bet the next step is an attack on credit card interest rates themselves. But if banks are forced to slash finance charges, they’ll simply cut access to credit for higher-risk borrowers—again, leaving those people to seek out far worse alternatives. This isn’t protection. It’s engineered exclusion.
Coming for Your Social Security
In a particularly dystopian move, the CFPB has also been poking its nose into federal student loan collections, warning that the Department of Education will soon resume seizing tax refunds and even Social Security payments from defaulted borrowers. Imagine spending your entire life paying into a broken system, only to have the government dock your Social Security because of a student loan you took out decades ago. The CFPB isn’t fighting this—it’s just waving a flag, letting borrowers know the storm is coming. And if history is any guide, its “solution” will be yet another policy that punishes responsible borrowers while bailing out the reckless.
Burn It Down: How to Abolish the CFPB
The good news? The CFPB is young enough that it could still be put out of its misery without too much bureaucratic bloodshed. The agency’s responsibilities could be rolled back into the FTC and Federal Reserve, which—despite their own faults—at least existed before Warren’s grand social engineering experiment.
More importantly, abolishing the CFPB would send a clear message: we don’t need another unaccountable, federally funded watchdog treating American consumers like clueless children. If people are reckless with their money, that’s their problem. If banks set fees too high, competition—not government force—will fix it.
As Musk and his Department of Government Efficiency (DOGE) set their sights on slashing wasteful government spending, taking a flamethrower to the CFPB should be high on their list. But make no mistake—this is just one battle in a much larger war against the creeping hand of financial tyranny. The real fight is against the Federal Reserve itself and the entire corrupt system that keeps these agencies alive.
If you think your money is safe in their hands, think again.
Take Action Now
Washington’s bureaucratic machine is coming for your bank account, your credit, and even your Social Security. Protect yourself before it’s too late. Download “Seven Steps to Protect Yourself from Bank Failure” by Bill Brocius now. Click here before the next crisis hits.